Are you looking for the most recent study? The 2025 M&A Deal Terms Study offers updated trends and private-target M&A deal terms insights.
The 2024 SRS Acquiom M&A Deal Terms Study presents an analysis of more than 2,100 private-target M&A industry transactions valued at more than $475 billion that closed between 2018 and 2023. The vast majority of these deals are not required to be publicly reported, and the report contains insights not found anywhere else.
Key topics in this year’s study include:
- Noteworthy M&A trends in deal consideration and earnouts
- Comparison of deals with and without Representations and Warranties Insurance (RWI)
- New data and deal analysis on special escrows, purchase price adjustments, privilege provisions, and more
SRS Acquiom 2024 M&A Deal Terms Study—Three Key Findings
#1 For the first time, customized PPA accounting approaches exceed “GAAP consistent with the target’s past practices as the accounting methodology.” The worksheet approach is now used on more than one-third of deals.
#2 One-third of all private-target M&A Deals now carry an earnout provision. That’s more than a 50% increase year over year.
#3 Fewer no-survival deals and increased use of special escrows. Walk-away deals decreased in 2023.48% of deals with RWI include other special escrows.
#1 For the first time, customized PPA accounting approaches exceed “GAAP consistent with the target’s past practices as the accounting methodology.”
#2 One-third of all private-target M&A Deals now carry an earnout provision.
#3 Fewer no-survival deals and increased use of special escrows.
SRS Acquiom: To learn more, download the full study: srsacquiom.com/2024-dts
Kip is a senior director leading the SRS Acquiom thought leadership practice, the mission of which is to share resourceful content built from SRS Acquiom expertise and proprietary data. In addition to facilitating scores of interactive presentations at M&A conferences and law firms, Kip authors a plethora of articles and data studies regularly utilized by the market.
Previously, Kip was a part of the SRS Acquiom Transactional Group, where he collaborated with clients and counsel to negotiate M&A documents including purchase, escrow, payments, and other transactional agreements. Before joining SRS Acquiom, he was an attorney with a Denver-based boutique business law firm working on middle-market M&A deals.
Kip holds J.D. and M.S. (Econometrics) degrees and is a member of the Colorado bar.