Publications

Six Common Seller Errors in European M&A Deals and How to Avoid Them

Martin Bakker, Partner, MDN Group

In the European M&A market, sellers must deal with an array of regulations, cultural nuances, and shifting market conditions. Even well-prepared owners can encounter unexpected obstacles that slow negotiations, diminish deal value, or cause serious buyers to walk away. By recognizing and addressing these potential pitfalls, sellers can position themselves for a more seamless and successful transaction.

Below are six frequent missteps sellers make during the M&A process, along with practical strategies for preventing them.

Driving Business Growth with Incremental Acquisitions

Peter Hubert, Partner, MDN Group

In an increasingly volatile European market, businesses are moving away from traditional large-scale, high-stakes transactions and gravitating toward smaller, incremental acquisitions. This approach, often described as “buy and build,” offers a level of strategic flexibility that can be critical in uncertain times. 

Rather than committing massive resources to a single, transformative deal, companies are instead opting to accumulate value through a series of carefully selected, smaller-scale purchases. This measured strategy enables them to respond to evolving market conditions, mitigate risk, and secure a more sustainable growth trajectory.

Key Differences Between Heads of Terms and Sale & Purchase Agreements

Robert Nilsen, Associate, MDN Group

When preparing to buy or sell a business within the European Union, it is important to understand the various documents that guide the transaction. While negotiations and due diligence often take centre stage, it is equally necessary to know the differing legal instruments that structure the deal. Among the key documents are the preliminary Heads of Terms and the more formal Sale & Purchase Agreement (SPA).

Explore the respective roles of these documents, their defining characteristics, and how they help shape the progression from initial negotiations to a fully executed transaction.

Steadying the Ship: Packaging Sector M&A Trends in 2024

Gabriel Hansen, Associate, MDN Group

The European packaging sector, like many other global industries, faced multiple moving targets during 2024. However, despite challenges, including elevated interest rates, supply chain disruptions, and economic uncertainty, mergers and acquisitions in the packaging industry demonstrated a measured resilience. 

Though deal volumes remained somewhat subdued, several notable transactions highlighted that both strategic buyers and financial sponsors still see long-term growth potential, especially as companies invest in sustainable technologies and innovative materials.

Evaluating Business Value with EBITDA

Peter Hubert, Partner, MDN Group

Assessing the value of a business requires careful analysis of financial metrics. Among these, Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) is a critical indicator. 

By isolating core operational performance, EBITDA provides essential insights for investors, analysts, and business owners.