Acquiring a Federal Government Contractor: Avoiding Pitfalls

This Practice Note highlights common pitfalls to avoid in an acquisition of a federal government contractor. It contains a discussion of typical issues that arise during all stages of the transaction, from structuring the deal and conducting due diligence to drafting the purchase agreement and satisfying post-acquisition requirements.

Over the past several years, federal government contractors have increasingly been involved in mergers and acquisitions. Given the specific laws, regulations and other requirements that apply to federal government contractors, transactional attorneys must take a different approach when structuring the deal, conducting the due diligence and drafting the purchase agreement. A failure to understand and mitigate against potential risks can result in a significant devaluation of the target company.