Asset Deal

An Asset Deal refers to the sale of individual assets, business units or operating assets of a company – as opposed to a Share Deal, where shares (GmbH interests, shares) are sold and the entire company including all liabilities is transferred. Asset Deals are often chosen to exclude unwanted liabilities, legacy issues or process risks.

Tax considerations – e.g. loss carryforwards, depreciation options – can also favour an Asset Deal. However, VAT and the transfer of employment contracts (business transfer) must be considered. The right transaction structuring between Asset Deal and Share Deal is a key decision.

We advise clients on company sales and explain pros and cons in each case. Examples: Print Royal, Services case study, E-Commerce case study. More in our M&A process blog.