Matthew Lau (Toronto)

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Regulators comment on securities law implications for offerings of tokens

By Matthew Lau (Toronto) on June 19, 2018 Posted in Corporate finance, Technology and innovation

On June 11, 2018, the Canadian Securities Administrators (“CSA”) published Staff Notice 46-308 Securities Law Implications for Offerings of Tokens (“Notice”). The Notice follows from the CSA’s previous guidance in Staff Notice 46-307 Cryptocurrency Offerings, where the CSA explained that many cryptocurrency offerings involve the distribution of securities and are therefore subject to securities laws … Continue reading

Working capital adjustments: lessons from De Santis and Iacobucci v Doublesee Enterprises Inc.

By Matthew Lau (Toronto) on March 7, 2018 Posted in Uncategorized

In complex M&A transactions, there could be a significant delay between the initial valuation of a target company and the closing of the deal. As we explained in our previous article, “Net working capital adjustments: what’s the deal?”, parties can protect themselves against fluctuations in value during this period by negotiating purchase price adjustments (PPAs). … Continue reading

Blockchain technology: an imminent driver of investment and M&A

By Matthew Lau (Toronto) on August 8, 2017 Posted in M&A, Technology and innovation

Blockchain technology has been making headlines since it emerged in 2009 in connection with the cryptocurrency Bitcoin. We’ve covered the potential use of Bitcoin in M&A transactions in previous articles in 2016 and 2014. As discussed in these articles, the volatility and lack of central authority has so far meant that the cryptocurrency plays a … Continue reading

M&A trends: augmented and virtual reality

By Matthew Lau (Toronto) on May 25, 2017 Posted in M&A, Technology and innovation

Since Facebook’s $3 billion acquisition of Oculus VR – a company that develops and manufactures virtual reality headsets – augmented and virtual reality technology has become a major topic of discussion in the M&A world. For those who are new to this emerging industry, virtual reality is an artificial, computer-generated simulation of a real life … Continue reading

Five months after Brexit: domestic UK M&A drops to 30 year low

By Matthew Lau (Toronto) on November 30, 2016 Posted in M&A

In the days leading up to the June 23, 2016 Brexit referendum, we discussed Brexit’s potential impact on the M&A market: Britain without the EU: how will Brexit affect dealmaking? Today, we take a look at how those predictions have held up five months after the historic vote. Domestic UK M&A down 62% As predicted, … Continue reading

Bitcoin update: cryptocurrency remains rare in M&A transactions despite potential

By Matthew Lau (Toronto) on September 29, 2016 Posted in Antitrust, competition and regulatory, Finance, M&A

Bitcoin remains a fringe currency in the context of M&A transactions. Despite some notable advantages over fiat currency, the risks associated with funding a large transaction using the cryptocurrency have limited its use to deals between players in the Bitcoin space. This article provides an update to our previous article on Bitcoin’s viability as a … Continue reading

Britain without the EU: how will Brexit affect dealmaking?

By Matthew Lau (Toronto) on June 14, 2016 Posted in Corporate finance

On June 23, 2016, Britons will be heading to the polls to determine whether or not the UK should remain a member of the EU. Given the stakes involved, the referendum is likely to have an impact on M&A activity in the UK, both before and after the vote. The referendum This is not the … Continue reading

Spotlight on Ukraine: a promising future for M&A activity

By Matthew Lau (Toronto) on April 28, 2016 Posted in Corporate finance, Financial institutions

In March 2014, this blog featured an article discussing the effect of the recent crisis in Ukraine on M&A activity. The crisis began in November 2013 when Ukrainians protested en masse after then-president Viktor Yanukovych failed to sign an association agreement with the European Union. Yanukovyvh was ousted in February 2014. During that time and … Continue reading

Dealmaking in a negative interest rate environment

By Matthew Lau (Toronto) on March 8, 2016 Posted in Corporate finance, Finance

The term “negative interest rates” was introduced into the Canadian vocabulary on December 8, 2015, when the Bank of Canada announced that it would be willing to use this “unconventional monetary policy tool” in the event of economic crisis. With the current benchmark interest rate of 0.5% already near historic lows, this announcement suggests that … Continue reading

Managing the psychological impact of M&A

By Matthew Lau (Toronto) on November 26, 2015 Posted in Corporate finance, Employment and labour

Studies reveal that 50 to 70% of M&A transactions ultimately fail to realize expected synergies and, in fact, many actually dilute shareholder value. One of the causes of M&A failures is that companies often neglect to adequately consider the psychological impact of M&A on their employees. Will I be laid off? Will I be moved … Continue reading