"Contingent Value Rights—Means to an End: Using CVRs to Bridge Valuation Gaps in Public Company M&A Deals" (Emerging Issues Analysis, The Daily Deal and TheDeal.com)

September 2009
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In its September 2009 issue of Emerging Issues Analysis, LexisNexis published an article by Frank Aquila and Melissa Sawyer, "Contingent Value Rights—Means to an End: Using CVRs to Bridge Valuation Gaps in Public Company M&A Deals." The article provided an overview of the different types of contingent value rights (CVRs) and how they can be utilized in M&A transactions. Mr. Aquila and Ms. Sawyer pointed out several considerations associated with using CVRs in deals, and suggested that CVRs are "an extraordinarily flexible tool that can be structured in an infinite variety of ways to suit the facts and circumstances of a particular transaction" and could become a regular component of the M&A lawyer's arsenal. The authors also discussed using CVRs as a creative solution for valuation gaps in deals in an article published by The Daily Deal and TheDeal.com, "Bridging the Bid and Ask with CVRs."