Reijmer/Russell on M&A Directions: Can We Talk? Not Necessarily

Maintaining a discreet silence can be worth its weight in gold, literally, in several key phases of the deal. We'll address each of these points from the perspectives of the buyer and the seller.

Disclosing to Those Who Need to Know

The rule for sellers is straightforward: the fewer the people who know that the company is being sold, the fewer the obstacles there will be to closing the sale. The owner may share information on a need-to-know basis with the CFO, the director of sales, an executive assistant and, in all likelihood, no one else. The restriction on disclosure should remain in place until both the seller and the buyer are ready to go public with the news.