Three simple ways to speed up legal due diligence
When a company undertakes a corporate exercise, the task of providing documents and information for due diligence is usually delegated to the management of the company. The following are three simple ways for the management of the company to speed up the due diligence exercise and make the process more …
“Explaining the “how” and “why” in legal due diligence
Legal due diligence could be an exercise of frustration at times. There may be tight deadlines sometimes, but the documents required for legal due diligence are not forthcoming from the target company. If the target company is going through the due diligence exercise for the first time, the team at …
What to look out in due diligence on material contracts
Investors who want to subscribe for shares or acquire shares of private companies from another shareholder should consider conducting legal due diligence on the companies before their investments. One key aspect of legal due diligence are material contracts of the companies. Legal due diligence on material contracts allows the investors …
Target company in due diligence should avoid these
When public listed companies undertake corporate exercises, one of the key concerns is the timing for completion of the corporate exercises. Timing is particularly important when PLCs are raising funds through corporate exercises such as rights issues and IPOs as these are subject to market conditions. If the information provided …
Linkedin survey on challenges on identifying salient terms
I remember my first legal due diligence. I was roped in to assist my colleagues as the data room for the legal due diligence was about to close. I was asked to get a laptop from the IT personnel and given an address to go to. I met my colleagues …
What are salient terms of contracts?
What are salient terms of contracts? Corporate lawyers spend a lot of time summarising salient terms from contracts into legal due diligence reports. Disclosure of salient terms of certain contracts is required in prospectus and circulars to shareholders of public listed companies for certain corporate exercises. When deciding whether certain …
Due diligence for IPO
If you are wondering why your IPO lawyers ask so many questions whenever they detect potential legal non-compliance by your company which intends to undertake an IPO (even if it may not be a major issue), it is probably because of the following. The Prospectus Guidelines require any relevant laws, …
Virtual data room for due diligence
Due to the current COVID-19 situation, it is increasingly common for data room to be set up virtually for due diligence. Some points to take note when preparing virtual data room (VDR): Organise the VDR in a user friendly-manner for the parties accessing the VDR. Separate documents into different folders …