The acquisition is made when a company makes a successful offer to take control of another business or to acquire it. Acquisitions can be made by acquiring a majority stake in the target company. Acquisitions are also often made as part of the merger and acquisition process. In the event of an acquisition, the company making the offer is the purchaser, and the company it wishes to take control of is designated as a target. The formal definition of a contract takeover in the Netherlands is the adoption of the legal relationship as stipulated in a contract. The acquisition must be made in writing. An unwelcome or hostile takeover can be quite aggressive, as a party is not a willing participant. The recipient company can use unfavorable tactics, such as a heist at dawn, in which it acquires a significant share of the target company as soon as the markets open, causing the target to lose control before it realizes what is happening. A reverse takeover is made when a private company takes over a public company.
The acquisition company must have sufficient capital to finance the acquisition. Reverse acquisitions offer a private company the opportunity to go public without having to pay for the additional risk or cost of an IPO. 14. If, for any reason, the bank refuses to accept the transfer of the transaction and the aforementioned assets to the company, this agreement is considered terminated. This consent is obtained by the seller prior to the registration of the company. The other party (the transferred party) must also approve the acquisition. This authorization does not have a prescribed form, but it is recommended that written authorization be obtained to avoid evidence problems later. In corporate finance, there may be different ways to structure a buyout. An acquirer may take the majority stake in the outstanding shares of the company, buy directly the entire business, merge an acquired business to create new synergies or acquire the business as a subsidiary. In the case of a company purchase contract, it is therefore essential to determine the value of the business and reward the assets that should be taken over by the buyer by the decentralization of the company. The assumption of a commercial lease is provided, in circumstances, by Dutch law. When a business owner sells his business to a third party and the owner does not voluntarily cooperate in an acquisition, he can ask the court for the owner to accept the takeover of the lease by the new owner.
The acquisition of companies is subject to legislation that is sometimes difficult to deviate from because it protects the interests of creditors and contracting parties.