Completing the purchase of a company in the automotive sector

Successfully completing the purchase of a company in the automotive sector

SE-Solicitors has a long-standing and well-established client in the automotive and aerospace engineering industry. Having worked closely for this company for a long period, SE-Solicitors have advised them on previous acquisitions and commercial agreements throughout the years.

On this occasion, the client instructed the SE-Solicitors’ Corporate & Commercial team on their purchase of a small family company, which specialised in the wholesale distribution of screws, fixing sand other components. The transaction was led by Consultant John Spratt, with the support of Senior Associate Catherine O’Riordan.

The Value to the Client:

There were particularly complex matters which had to be addressed in this transaction, including consultancy agreements for the sellers and price adjustments. There were also issues surrounding the property which the target company was occupying.

In order to provide the best possible advice for our client, John and Catherine brought in the relevant expertise of Carol Shaw from SE-Solicitors’ specialist Employment Department, and members of the Commercial Property team to advise on the intricate details.

The team assisted the client in re-negotiating substantial terms of the acquisition. Furthermore, SE-Solicitors’ were able to successfully secure their client a 20% reduction from the original purchase price, as a result of the effect on the target’s business and therefore value caused by the Coronavirus pandemic.

The long-standing nature of the Corporate & Commercial team’s relationship with the client meant that the team were able to act with the same efficacy as an inhouse team. They were fully alert to the organisations requirements and sensitivities, and were therefore able to protect the best interest of the client throughout both this transaction and all of the others.