If you are not much aware of corporate restructuring services, it is better to look for corporate restructuring advice from experts in your area. Companies keep on merging and acquiring new companies with each passing day. When one or two businesses merge together, the main goal is to enhance the performance of every individual business while capitalizing on benefits that each company presents at the individual level. The new structure is designed in such a manner that every company involved in a merger can utilize common resources for growth.

Corporate Restructuring Advice – Different Ways Mergers Can Be Structured

Corporate Restructuring Advice from Experts

Merger & Acquisition is a general term that explains the process for the consolidation of two or more companies and their assets via different financial transactions. The article below provides information about different types of mergers that companies can consider while availing of Singapore M&A consulting services. Spare some time to go through the details below and soon you will be able to make a clear decision about what type of merger you can consider for your company.

Horizontal Merger

The company needs a direct competitor for undergoing a horizontal merger. This procedure can combine various product lines as well as locations associated with two different entities while resulting in a more robust solution for customers. As per corporate restructuring advice from experts, this method may appear anti-competitive, mainly when two parties have some prior engagement in a price war. The main disadvantage of this technique is that it may involve government intervention to handle competitiveness issues.

Vertical Merger

A company may require complete control of different supply chain aspects; ranging from sales activities to the final customer handling. In order to obtain this control, the company may need to buy main suppliers of the essential components that are required by the company in day-to-day operations along with retail locations and product distributors. The best example can be a merger of a company that makes ice creams with another company that makes ice cream cones.

Market-Extension Merger

Market extension merger usually occurs between two companies that are involved in the selling of similar general types of products but target unrelated markets. Businesses that take the opportunity to be a part of the market extension merger are likely to develop a larger client base while acquiring new customers from diverse markets. This approach also ensures a considerable rise in sales and brand value of the business. You can avail Singapore M&A consulting services to know more about this merger and to proceed ahead with the formalities.

Conglomeration

This type of merger can be recognized as the catchall of all remaining types of mergers and it generally involves the acquisition of totally different industries. It may also include geographic extensions or brand extensions. Sometimes the acquirers may supplement their product line with similar types of products as that of another company. However, in other cases, the company may choose to diversify completely into a new product range to deal with a potential customer base. In order to proceed ahead with any of these mergers, you can consider availing of corporate restructuring advice from experts in Singapore.