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DLA Piper’s reflections on closing a $9.1bn acquisition
Global firm DLA Piper recently advised Renesas Electronic Corporation on the completion of its $9.1 billion acquisition of Altium Limited. Here, lead partners David Ryan and James Stewart share insights on the acquisition’s completion and discuss lessons for lawyers handling high-value transactions.
Grace Robbie
Earlier this month, DLA Piper guided Japanese semiconductor manufacturer Renesas on its cross-border acquisition of American-Australian multinational software company Altium Limited.
DLA Piper’s advice to Renesas was led by Sydney-based corporate partners David Ryan and James Stewart.
Mr Stewart commented that “this take-private transaction follows a series of recent tech sector deals”.
“We are pleased to advise Renesas Electronic Corporation on this major take-private acquisition. It’s a great example of our capabilities in complex cross-border work,” stated Mr Stewart.
State of M&A in Australia
When asked by Lawyers Weekly about the firm’s perspective on the current state of the M&A market in Australia following its involvement in this transaction, Mr Ryan remarked that the acquisition highlighted a robust demand for “quality assets” and a strong interest in “strategic acquisitions in technology”.
“While the transaction demonstrated there’s strong demand for quality assets, it also showed that in the current M&A environment, there is a strong interest in strategic acquisitions in technology by offshore buyers.
“The transaction was compelling for the seller and buyer as a genuine win-win,” stated Mr Ryan.
Pressure placed for high acquisitions
When undertaking expensive acquisitions, Mr Ryan stated that teams often face inherent pressure. However, working with a professional team provides invaluable support during these times.
“In such a complex high-value transaction, there’s naturally significant pressure on the team.
“It’s a team of professionals, and together they have decades of experience. They’ve always risen to the occasion. We’re in it together, so the team supports one another when it counts,” stated Mr Ryan.
Lessons lawyers can take away when working on high-dollar transactions
In discussing the acquisition in which DLA Piper participated, Mr Stewart highlighted the firm’s “global footprint” as a significant factor contributing to its capacity to engage in value transactions.
“On this matter, our global footprint really came to the fore. We were able to draw on our resources across practice groups and geographies to get the right expertise.
“Our scale as a global law firm enabled this complex cross-border transaction to proceed quite seamlessly,” stated Mr Stewart.
How can partners manage pressure from the top-down
Mr Stewart emphasises the importance of celebrating success and achievements as a means to manage the pressure that higher-ranking team members may place on the team.
“It’s important to celebrate your team’s success along the way and to recognise exceptional performance. The whole team showed a willingness to go the extra mile, which speaks volumes of their commitment,” stated Mr Stewart.
The team that worked on the deal was led by David Ryan (partner, corporate) and James Stewart (partner, corporate), who were assisted by Roger Hawkins (special counsel, corporate), Madison Smith (senior associate, corporate), Rohan Shukla (senior associate, corporate), Abdul Ali (solicitor, corporate), Julia Krapeshlis (solicitor, corporate), and Lachlan Ferris (solicitor, corporate).
