Market Trends 2021: Sandbagging Provisions in Private Target Acquisition Agreements

Review the market trends in sandbagging provisions in private transactions announced in 2021. This practice note covers the prevalence of sandbagging provisions and the use of certain covenants and cure rights as backdoor sandbagging provisions. For quick reference, the practice note includes provisions and transaction data for representative transactions. The data analyzed in this practice note was obtained using Market Standards, which contains over 39,000 publicly filed M&A deals from 2008 to the present.             

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