Risk Allocation Between Signing and Closing an M&A Deal

Brett Shawn, Senior Vice President, Assistant General Counsel at Warburg Pincus LLC

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In M&A, time is the enemy. The longer a deal takes to close, the more risks it poses for both parties. Both the buyer and the seller need to understand the deal risks and how to mitigate them.

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In this episode of the M&A Science Podcast, Brett Shawn, Senior Vice President, Assistant General Counsel at Warburg Pincus LLC, talks about risks allocation between signing and closing an M&A deal.

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Things you will learn in this episode:

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Reasons why signing and closing don't happen simultaneously.
The Risks in the Gap between Signing and Closing.
How do you protect yourself from the risks between signing and closing?
Pros and cons of the gap between signing and closing.
What is the gun-jumping rule?

Warburg Pincus LLC is a leading global growth investor. The firm has more than $83 billion in assets under management. The firm’s active portfolio of more than 225 companies is highly diversified by stage, sector, and geography. Warburg Pincus is an experienced partner to management teams seeking to build durable companies with sustainable value. Since its founding in 1966, Warburg Pincus has invested more than $117 billion in over 1,000 companies globally across its private equity, real estate, and capital solutions strategies. The firm is headquartered in New York with offices in Amsterdam, Beijing, Berlin, Hong Kong, Houston, London, Luxembourg, Mumbai, Mauritius, San Francisco, São Paulo, Shanghai, and Singapore.

Industry

Financial Services

Founded

1966

Website

http://warburgpincus.com

Brett Shawn

Brett Shawn is the Managing Director, Assistant General Counsel at Warburg Pincus LLC, where he specializes in M&A transactions. With over seven years at Warburg Pincus, Brett has extensive experience in both acquiring and divesting investments. Prior to joining Warburg Pincus, he practiced M&A and securities law at Wachtell, Lipton, Rosen & Katz in New York. Brett’s role involves daily engagement with complex M&A activities, driving growth and strategic exits for portfolio companies. His deep legal expertise and firsthand experience in high-stakes negotiations ensure he plays a pivotal role in Warburg Pincus’s success in the private equity space.