Tangible assets refer to physical assets and land. Tangible assets are therefore the counterpart of intangible assets.
The takeover of another company (e.g. via a public takeover offer) is called a take-over.
The term target refers to a target company that is to be acquired in the context of an M&A transaction.
Tax Assessment is the English term for a tax assessment.
Tax due diligence
In a company audit (see Due Diligence), a tax due diligence serves to determine the tax risks.
A tax gross-up means the increase of a payment amount by the taxes that the payee has to pay to receive the amount.
A Tax Haven is a place or country that offers low rates of taxation for individuals and companies. English term for a tax haven and a popular location for holding companies in particular.
A tax indemnity is the obligation of a tax refund, which for example concerns all taxes of a buyer that are incurred before the closing.
The tax shield is relevant as a valuation parameter for the adjusted present value (see also Adjusted Present Value). This is a tax saving that results from the utilization of interest, debt, and other financing costs.
The term teaser refers to a mostly anonymous company presentation by an M&A consultant. He uses the teaser to sound out the interest of potential buyers.
A public offer to the shareholders of a company to purchase their shares is called a tender offer.
A term sheet is a compilation of the key points (terms) of an intended contract.
The term Thin Capitalization refers to the capitalization of a company that consists only to a small extent of equity. Since numerous legal systems have upper limits on the tax deductibility of interest on debt capital, interest on excess debt capital is treated as a hidden profit distribution.
A tombstone is a symbol for a successfully completed financial transaction. An acrylic stone is often used for this purpose, on which the name of the M&A transaction house involved as well as the parties to the transaction are engraved.
The top line is the top line of a Profit & Loss Statement (see also Profit & Loss Statement), in which the sales or revenues are listed.
The success story of a private equity house, a venture capital company or a transaction consultant is called track record.
Trade Payables is the English term for trade payables.
Trade Receivables is the English term for trade receivables.
A trade sale is the sale of a financial investment to a strategic investor. This is one of the typical exit scenarios for a financial investor.
Trading Multiples are the multipliers for the market valuation of a company. Earning multiples and sales multiples, for example, are the most common.
A transaction fee can also be called a success fee and means the success fee of an M&A advisor.
Transaction multiples are valuation multiples derived from comparable transactions.
Transaction Service Agreement
A Transaction Service Agreement is a contract under which the seller provides services for the target for the time during and after the transaction until the buyer can take over the services, for example IT.
Transfer of operations
In the event of a transfer of an undertaking, the owner of an undertaking or part of an undertaking changes by means of a legal agreement. The new holder takes over all rights and obligations from the previous holder.
A Transition Agreement is the agreement on the smooth transfer of a target company from the seller to the buyer. For example (often in return for the payment of a management fee), payroll accounting will continue to be handled by the seller until the buyer has built up its own internal and external resources.
Transitional Services Agreement
In a Transitional Services Agreement (TSA), ancillary agreements and their conditions are discussed in relation to a company purchase agreement. The ancillary agreements in the Transitional Services Agreement relate to services that the seller provides to the target company during a transition period, for example accounting, personnel administration and IT.
The Threshold is a threshold value, which is subject to certain legal consequences if it is exceeded or fallen short of. For example, the seller only owes the buyer compensation if his warranty claims exceed a certain threshold value.
The triangular merger is a merger in which the target company merges with a subsidiary of the buyer. A distinction can be made between a forward triangular merger (merger of the target company with its subsidiary) and a reverse triangular merger (merger of the subsidiary with the target company), whereby the reverse triangular merger is the more frequent case
Triple A rating
The triple A rating (also known as AAA rating) refers to the best possible creditworthiness of a debtor that a rating agency can give. A triple A rating indicates that the risk of default on a bond does not actually exist.
The term Trouble Management refers to the process or organizational unit for solving a specific problem.
The English term trust refers to a trust company or trust assets.
Trustee is the English term for a trustee.
TSA is the abbreviation for Transaction Service Agreement (see also Transaction Service Agreement).
A successful restructuring or successful completion of an economic downturn and the initiation of a positive trend can be described as a turnaround. This is often represented graphically in the form of a hockey stick (see also Hockey Stick).