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The 2024 SRS Acquiom M&A Deal Terms Study presents an analysis of more than 2,100 private-target M&A industry transactions that closed between valued at more than $475 billion that closed between 2018 and 2023. The vast majority of these deals are not required to be publicly reported, and the report contains insights not found anywhere else.
Key topics in this year’s study include:
- Noteworthy M&A trends in deal consideration and earnouts
- Comparison of deals with and without Representations and Warranties Insurance (RWI)
- New data and deal analysis on special escrows, purchase price adjustments, privilege provisions, and more
SRS Acquiom 2024 M&A Deal Terms Study—Three Key Findings
View Video Transcript00:00:09
#1 For the first time, customized PPA accounting approaches exceed “GAAP consistent with the target’s past practices as the accounting methodology.” The worksheet approach is now used on more than one-third of deals.
00:00:14
#2 One-third of all private-target M&A Deals now carry an earnout provision. That’s more than a 50% increase year over year.
00:00:23
#3 Fewer no-survival deals and increased use of special escrows. Walk-away deals decreased in 2023.48% of deals with RWI include other special escrows.
00:00:38
#1 For the first time, customized PPA accounting approaches exceed “GAAP consistent with the target’s past practices as the accounting methodology.”
#2 One-third of all private-target M&A Deals now carry an earnout provision.
#3 Fewer no-survival deals and increased use of special escrows.
00:00:40
SRS Acquiom: To learn more, download the full study: srsacquiom.com/2024-dts
Download the study above.
Kip Wallen
Senior Director, Thought Leadership tel:720-452-5364
Kip Wallen is a senior director leading the SRS Acquiom thought leadership practice. He leverages his extensive expertise and SRS Acquiom proprietary data to produce resourceful content regularly utilized by market practitioners. Kip has broad experience in M&A and provides guidance on market standards and trends.
Previously, Kip was a Director with the SRS Acquiom Transactional Group, where he collaborated with clients and counsel to negotiate M&A documents including purchase, escrow, payments, and other transactional agreements. Before joining SRS Acquiom, Kip was an attorney with a Denver-based boutique business law firm where he assisted clients with M&A transactions as well as general corporate governance and securities matters.
Kip is an avid supporter of the Colorado Symphony, serving as Treasurer and Trustee. He is an active participant on the American Bar Association’s M&A Committee. In 2016, Kip completed Leadership 20 with the Denver chapter of the Association for Corporate Growth.
Kip received his J.D. from the Sturm College of Law at the University of Denver and an M.S. in Economics, B.S. in Economics and B.A. in International Relations from Lehigh University. He is a member of the Colorado bar.