Due diligence falls into three main categories: legal due diligence. financial due diligence. commercial due diligence.
The due diligence phase is a comprehensive assessment of the books and records of the target company prior to closing a merger or acquisition (M&A) deal.
Due diligence (DD) is an extensive process undertaken by an acquiring firm in order to thoroughly and completely assess the target company's business, assets, capabilities, and financial performance. There may be as many as 20 or more angles of due diligence analysis.
The time and date of closing determine the contents of the Closing Clause. The closing may be simultaneous with the signing of the acquisition agreement (often referred to as a “simultaneous sign and close“) or it may occur on a date after the signing, after all closing conditions have been met or waived.