8 key aspects for a Merger of Equals

Companies have the possibility of merging with others, pooling their assets and forming a new organization. This operation is known as a merger of equals (MOE), and for it to be successful, eight key aspects must be addressed. .

1. Perform a complete and detailed assessment of the two companies and detect the synergies and coststhat the merger will generate.

2.Analyze the financial policies and the fiscal framework of both companies and define which one will be adopted by the merged company.

3.Establish a balanced relationship between the two companies: certain compromises must be made and some sacrifices must be made in order to achieve equality and stability.

4. Establish a clear organizational chart in advance to avoid conflicts.

5.Define the brand name under which the company will operate and the legal name: a new one, that of one of the companies or a combination of both can be adopted.

6. The corporate culturewill be different. One of them can be kept intact, a combination of both can be created or a new one can be generated. This will depend on the characteristics of the merged companies.

7. The internal and external policies and procedures of both companies must also be combined and fit into both merged companies. There are the same ways as in the previous point. Whatever the decision, tools should be provided and all employees should be notified of the changes implemented.

8. If the objective is to integrate the structures, culture and workforce of two merged companies, it is important to strike a balance between decisionsmade by individuals and decisions made by departments. The way a message is sent is key for the company.

Our team of experts offers you comprehensive support and advice on this matter. Do not hesitate to tell us about your project.

We strengthen the firm with two new Of Counsels!

In Kepler-Karst we continue growing and we have incorporated two renowned specialists from the restructuring, insolvency and commercial law world into the firm.

Armando Betancor Álamo, a specialist in cross-border operations, and Luis A. Barber Marrero, an expert in Corporate/Commercial and Insolvency Law focused on construction, have joined the firm as Of Counsel. With more than 50 years of experience between the two of them, their arrival positions Kepler-Karst as one of the leading boutique law firms in the field of business law.

Armando Betancor Álamo joins Kepler-Karst as Of Counselto reinforce the Restructuring and Insolvency area, and as a key player in the Commercial area, working from London and Madrid. Considered as one of the most relevant lawyers in the sector by Chambers & Partners, his creativity and vision stand out, being able to work on and develop the most complex legal cases. With over 20 years of experience applied to Commercial law, Armando Betancor has advised more than 150 companies in Insolvency proceedings and has participated in Restructuring and Insolvency processes of national and multinational companies. In addition, he is the insolvency administrator of the Petersen companies in the lawsuit that is being carried out in New York against the Republic of Argentina and YPF. Armando is also one of the pioneers of the Legal Finance world in Spain, and in recent years he has provided advice in important cases related to Antitrust practices.

Armando has a degree in Law from the Universidad de Las Palmas de Gran Canaria, a Master’s degree in Business Law and a Master’s degree in Urban and Real Estate Planning Law. He is a graduate of the Lawyers Management Program (LMP) from the London School of Economics and the IE Law School, and also holds a Master’s degree in Private Equity from the London Business School. Member of the International Bar Association, the Turnaround Management Association, the International Association of Restructuring, Insolvency and Bankrupcy Professionals (INSOL), the Club Español de Arbitraje and the Asociación de Administradores Concursales (ASPAC).

He has been ranked by the Chambers & Partners directory in 2019 and 2020 in Band 2 of the Restructuring/Insolvency category: Administration – Spain (Europe) and Band 2 of the Litigation Funding category: Brokers – UK – wide.

Luis A. Barber Marrero is an expert in Commercial, Corporate, Insolvency, Litigation and Civil Law focused on construction, with more than 25 years of experience as a litigator. Luis joins the firm as of counseland will play a key role in the areas of Real Estate and Insolvency Litigation, as well as in the Restructuring and Insolvency area.

Luis has a degree in Law from the Universidad de Deusto in Bilbao and a Master’s degree in Tax Law. He is a regular speaker at various seminars and conferences on Commercial and Bankruptcy Law, has taught Law and is a member of Las Palmas Bar Association. His first years of professional activity he worked as a banking lawyer in the Department of Investments and Large Companies, and later he joined the firm Barber & Associates, specialized in Tax and Financial Law, where he implemented the specializations in Commercial, Civil and Administrative Law.

The incorporation of Luis and Armando is a key step in our growth strategy, and strengthens our firm by being able to count on two professionals of such high level and experience“, said Davinia Sánchez, partner and president of the firm.These two professionals have extensive experience in the practice areas in which we specialize and we are confident that their incorporation into our team will be of great value to our clients,” says Sanchez.