Embedded ESG Issues Driving M&A Disputes, BRG Report Shows 

BRG’s recently released M&A Disputes Report 2024 highlights that environmental, social, and governance (ESG)-related issues are increasingly causing disputes in the mergers and acquisitions (M&A) landscape. Regulatory scrutiny, activist investors, and the lack of established ESG metrics contribute to this trend. Across regions, ESG emerges as a top dispute driver, with almost 30 percent of respondents citing it as a primary cause of disputes.

The underlying issues covered by ESG are becoming more important for due diligence in M&A. “When it comes to M&A, ESG underpins an integrated framework that allows firms to analyze more holistically both the risks and strategic imperatives of an acquisition,” says Thomas O’Neil.

Read his insights, along with commentary from Dubravka Tosic and Gina Waterfield. (subscription required)