What is the role of the board of directors in a merger or acquisition?

The role of a board of directors in a merger or acquisition (M&A) is to ensure that the interests of the company, its shareholders, and the public are protected. Board members decide if a merger or acquisition is in the best interest of the company. In order for the board of directors to make a decision, they must take into consideration the financials and other information that is presented to them. The board of directors are responsible for researching and evaluating the proposed transaction, including reviewing the terms and conditions of the agreement. They must ensure that the transaction is fair and reasonable for all parties involved. The board of directors must also assess any financial, legal, and business risks, to make sure that the company is not exposed to any undue risk. In short, the board of directors has a responsibility to act in the best interests of the company and its shareholders. They have a duty to ensure that the company is not putting itself or its shareholders at an undue risk, by entering into an M&A transaction. As such, the board of directors plays an important role in the merger and acquisition process and must be consulted on all proposed transactions. In South Carolina, the board of directors has the ultimate responsibility for any decisions related to mergers or acquisitions.

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What is the role of the board of directors in a merger or acquisition?

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