Purchasing and modifying discount debt
What dealmakers should know
This M&A article provides insights and considerations for those considering a discount debt buyback or debt modification.
Companies and their financial sponsors considering a discounted debt buyback or debt modification should be aware of potential tax consequences that could materially affect the expected economic benefit of a transaction. Careful analysis and planning from the inception of these M&A transactions can help parties address the risk of adverse tax consequences and preserve the expected economic benefits. This M&A insights article provides insight into this complicated process.