In private-target M&A, working capital purchase price adjustments (PPAs) have become ubiquitous. Present in more than 90% of transactions today, these provisions are now routinely resulting in adjustments, even impacting deal economics.
It’s important to both get the calculation details right when negotiating these provisions and pay attention when it comes time to finalize the calculations post-closing. To help, we’ve created a summary sheet of essential PPA stats.
These key stats are derived from the 2026 SRS Acquiom M&A Working Capital Purchase Price Adjustment Study, which analyzes more than 1,500 private-target acquisitions with finalized PPAs, most of which are not publicly reported. These deals were valued at more than $385 billion.
Kip Wallen is a senior director leading the SRS Acquiom thought leadership practice. He leverages his extensive expertise and SRS Acquiom proprietary data to produce resourceful content regularly utilized by market practitioners. Kip has broad experience in M&A and provides guidance on market standards and trends.
Previously, Kip was a Director with 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, Kip was an attorney with a Denver-based boutique business law firm where he assisted clients with M&A transactions as well as general corporate governance and securities matters.
Kip is an avid supporter of the Colorado Symphony, serving as Treasurer and Trustee. He is an active participant on the American Bar Association’s M&A Committee. In 2016, Kip completed Leadership 20 with the Denver chapter of the Association for Corporate Growth.
Kip received his J.D. from the Sturm College of Law at the University of Denver and an M.S. in Economics, B.S. in Economics and B.A. in International Relations from Lehigh University. He is a member of the Colorado bar.