Conversation on W&I Insurance in M&A Transactions

Linkedin Post

As an M&A lawyer with a keen interest in the nuances of the M&A field, I’ve observed that warranty and indemnity insurance (W&I) is not that common in M&A transactions in Malaysia, as far as I know.

Therefore, when I saw Martijn de Lange of BMS Group commenting about W&I insurance on the post of another LinkedIn connection, I reached out to him. He graciously offered to share his insights on W&I insurance for Malaysian deals.

I went into our virtual meeting equipped with questions which I was curious about.

·      What deal size is economically viable for W&I insurance?

·      Are there any industry sectors where W&I insurance is more commonly used?

·      How does the W&I insurance process work in parallel with the traditional M&A process?

·      Is there any additional due diligence to be conducted for the purpose of W&I insurance?

·      What are the typical exclusions in respect of W&I insurance?

Rae Ong of BMS Group also joined us during the Teams call.

It’s fascinating how one connection leads to another on this platform, opening doors to a wealth of knowledge.

I had my curiosity satisfied.

malaysiancorporatelawyer
mergersandacquisitions

This post was first posted on LinkedIn on 16 November 2023.

17 Years in Private Practice
Lawyering
17 Years in Legal Practice

17 years. That is how long I have been in the legal profession. Over the years, there have been many transactions done and dusted, and many people I worked with on those transactions have since moved on to other paths. There are not many people I can turn to and …

Linkedin Post
Peak Period: A Moving Target for Corporate Lawyers

“When is your peak period?” I was asked. “Whenever the client wants the deal to go fast” I replied. The workload of corporate lawyers is not seasonal. It’s client-driven. The pace follows transaction timelines and clients’ expectations. What looks like a quiet period can quickly turn into full momentum overnight …

Linkedin Post
Partial Share Sales in Malaysia: What Sellers Need to Know About Guarantees

In partial disposals, it’s common for sellers and buyers to agree that any existing guarantees given by the sellers to secure banking facilities of the target companies will be adjusted to reflect the post-completion shareholding. For public listed companies (PLCs) in Malaysia, this can affect the deal timeline if not …