Practice guide: Cross-border acquisitions

Speed Read: There are normally two key considerations when a company makes a cross-border acquisition — whether to acquire assets or shares, and whether to fund the acquisition with debt or equity. These considerations will then determine the structure, taking into account the tax position in both the jurisdiction of the target company and the jurisdiction of the acquiring company. In certain circumstances it may also be beneficial to establish a subholding company in a third jurisdiction to make the acquisition.