Looking to understand more about Related-Party Transactions

Hi, there are many reasons a company might do this including creating separate profit centres for tax purposes, dividing assets for security reasons and making returns to shareholders easier. You will need to assess each transaction in turn and to the extent that the RPTs are with entities outside the target group you will need to decide whether assets need to be transferred into the group as part of the transaction, contracts formalised or replacement arrangements found. You will also need to be conscious of the impact these solutions have on the financials of the target company. Your financial and legal advisors will be able to guide you through this process. Happy to have a chat if you want to DM me. Good luck.