Sales and acquisitions
HSBC Private Bank France, joining forces with HSBC France’s expertise in mergers and acquisitions, offers you the skills of its teams of credit specialists to assist you in the acquisition and transfer process of your business assets.
Sale and transfer of companies |
HSBC Private Bank France works alongside managers to help them with the sale and transfer of their company, by elaborating a well-fitted strategy that meets their objectives and adapted financing solutions, which depend on the complexity of the operation: transfer tax optimisation, pre-sale asset stripping, purchaser financing, etc.
Financing the management package |
HSBC Private Bank France helps company’s managers and directors to finance the acquisition of companies’ shares on the occasion of Leverage Buy-Outs (LBO), Management Buy-Outs (MBO) and Initial Public Offerings (IPO).
A LBO, or Leverage Buy-Out, occurs when a company’s shares or securities are purchased and financed through leverage. A holding company is set up and incurs debt in order to buy a company. The free cash flows then generated will be regularly transferred to the holding company through the payment of dividends in order to pay the interest and capital on the loan. This loan, which is added to the personal funds brought in by the shareholders of the holding company, is used to buy the shares of the target company.
A MBO, which is a variant of a LBO, occurs when a company is bought by its own managers or employees. The management package is a founding principle of the MBO, which is based on a more appropriate governance structure and reconciles the interests of the manager and the shareholders. It involves investment from the manager and rests on a key valuation principle: the managers' earnings are directly linked to the company's performance.
An IPO allows an investor to take a stake in an unlisted company as it launches itself on the stock market.
We offer you our services to help you set up the best financing solution to suit your personal assets situation and your objectives. We are also dedicated to work alongside with you for the success of all your business assets sales and acquisitions projects.