WORKING CAPITAL PEG DYNAMICS AT THE CLOSE OF A STOCK PURCHASE?

Fellow Searchers, I am well into the due diligence process for a stock purchase and the sellers and I have come to an agreement about a working capital peg and the close is in a few weeks.

This will be my first acquisition, so I am requesting pointers to reading materials on how the details work at closing - the nitty gritty of how the true up works post close, who gets paid the profits between signing of the agreement and the receipt of cash etc. I see a lot of articles about how to determine the peg and not as much about the sequence of things that take place in the handful of days pre and post close.

Thank you!



share: