The below are the 5 steps summary of Mergers and Acquisitions process. Explain these steps in case of (Mergers and Acquisitions between two banks)
1- Companies make all their information, including all balance sheets, profit and loss account statements, employee productivity, status and plans and stocks of the organization, available in the Data Room.
2- All questions, discussions and analyses are done at the Data Room. A due-diligence evaluation process is carried out. The situation is assessed and any debts due are determined. Negotiations on the value of the company's banking relations are held.
3- After the valuation process of the companies, plans are discussed. The status of employees, compensation, and debt structure are examined.
4. Legal status is addressed. If the companies have pending fines, legal servitudes, restrictions and penal status are determined, and all public debts, including taxes are examined.
5 Sales-purchase and management process agreements are entered. A roadmap for change is prepared. Analyses of organizational-administrative and financial structure for the next period are performed