Real Deals Quotes Gavin Weir, Jasper Helder on European M&A

For its article “Cross-Border Blues,” Real Deals quoted Akin Gump corporate partner Gavin Weir and international trade partner Jasper Helder on the state of cross-border deal activity in Europe.

Weir noted that there have been some signs of recovery in the second half of this year, adding, “Cross-border transactions do add an additional layer of complexity, but that has not stopped deals moving forward. The opportunity to iron out the last few sticking points in person in the final 48 hours has been missed, but remote negotiations and diligence have proven efficient and multi-jurisdictional deals have gone ahead remarkably smoothly.”

He noted that there are sectoral differences, however, and that, for those sectors, such as real estate and manufacturing, where the assets need to be seen, or, as in asset management, where the “people component is critical,” it has been more difficult.

Helder spoke on European security concerns and their impact on cross-border M&A, noting, “Geopolitical developments have sharpened the focus on protecting critical infrastructure, which includes technology, transport, energy and defence. What has been interesting is how the scope of M&A control regimes has broadened to include things like personal data and public interest.”

He said that European M&A security regimes are not as comprehensive as the Committee on Foreign Investment in the United States, “but the landscape is evolving quickly, and member states and the EU are moving to beef up protections.”

Helder added that, as deal clearance regimes across Europe are put in place, both sellers and buyers will be better positioned to evaluate the national security hurdles before a deal. He said, “There is a bit of a scramble in Europe to put M&A security processes in place, but the trend is here to stay. As there is more clarity, this could become a gating issue, much along the lines of anti-trust.”