In the ever-evolving landscape of mergers and acquisitions, the past few years have ushered in significant changes as businesses navigate economic turbulence. One notable shift in this sphere is the increasing prevalence of earnout deals. These arrangements, which link a portion of the purchase price to the future performance of the acquired entity, have become a pivotal strategy in bridging valuation gaps and managing risk.

Read the full article.

About the authors:
Patrick T. Strubbe
Yuechu Li*