M&A Insurance

M&A Insurance

Considering flotation or a private acquisition or sale? M&A Insurance is a useful way to ring-fence the warranties and liabilities contained in the merger or acquisition prospectus, offering documents, or Sale and Purchase agreement. 

We can offer IPO and Warranty & Indemnity Insurance for public offerings and private transactions.

Mergers & Acquisitions Insurance

Bring confidence for all parties: ring-fence SPA warranties and indemnities and transfer them to an insurer

  • Free-up capital that might otherwise be stuck in escrow
  • Remove uncertainty around long-term tax liabilities, by passing them to an insurer
  • Beef up your IP reps and warranties with bullet-proof insurance

Buyer policies can be structured to achieve any or a combination of the following:

  • Increase the amount of indemnity and extend survival periods
  • Back-stop an indemnity or other obligation where there’s concern the seller may fail to perform or is perhaps not financially able to meet its obligations
  • Broaden the scope of warranties & indemnities to a level acceptable to the buyer
  • Distinguish a bid in auction process

Seller policies can be used to:

  • Protect Passive sellers (silent investors)
  • Avoid funds being held in escrow – enabling early distribution of sale proceeds
  • Reduce contingent liabilities, e.g. tax liabilities Enable a “clean exit” 

What's covered...

Insurance policy limits are available up to:

  • GBP 70,000,000
  • USD 100,000,000
  • EUR 80,000,000 

For an initial non-binding quote indication, we need:

  • Copy of draft sale and purchase agreement
  • Most recently filed audited accounts
  • Disclosure letter if available

Warranty & Indemnity Insurance

Disagreements over the scope of warranties and indemnities made by one party to another, or the duration or amount of a party’s indemnification obligations can break negotiations. A W&I policy can be an effective tool to bridge these gaps.

Primarily designed to respond in a merger and acquisition context, W&I can also be used to respond to warranties or indemnities given in other transactions such as:

  • Financings & Investments
  • Licensing Agreements
  • Liquidations
  • Restructurings & Workouts
M And A Guys Hi Fiving

“I appreciate the flexibility and super-fast turn around”

Selly S, life science client

 

Ready to work with us?

You can call us to talk more about your business on +44 (0)1223 200650 or +44 (0)20 3865 0149

What's Covered?

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About La Playa Science & Technology

Specialist & Independent

Specialist & Independent

La Playa's specialist Science & Tech team can help you protect your business with smart, flexible, high-performance insurance - with a friendly human UI. We understand the risks and pressures you face - and we speak your language.  We’ll support you with great advice - helping you make good decisions for your business. 

In-house IFA

We also offer Business Protection (including Key Person Insurance) and Employee Benefits: a joined up approach with a team of advisers working for your best financial interests - all under one roof

Advice You Can Trust

…from an expert who understands you

Tech-based business is 24/7, global and borderless, exposing you to new risks and liabilities - often in unfamiliar places. As the law struggles to keep pace with technology, insurance can provide a real safety net if you fall foul of changing legislation.

  • Specialist insurance for science and technology
  • Independent professional advice
  • Relationship-based service: right beside you when you make a claim
  • “Can do” culture
  • Seamless insurance across UK and US
     
Photo from Science & Technology
Photo of Hanna Beaumont FIRM

Hanna Beaumont FIRM

DIRECTOR, SCIENCE AND TECHNOLOGY

Direct Dial: +44 (0) 1223 200664

Mobile: +44 (0) 7795 473071

Email: hanna.beaumont@laplayainsurance.com

Twitter: @HannaBLaPlaya