On January 8, 2000, a very important photo was taken for the world of mergers and acquisitions (“M&A”) that stuck in print for prosperity. Indeed, in said image two people were registered raising their hands, neither more nor less than Gerald Levin, representative of Time Warner (media conglomerate, mainly cable) and, on the other hand, Stephen Case of American Online ( internet service company). Both companies at the time were announcing a business combination whereby Time Warner, through AOL, would have millions of new subscribers and, on the other hand, AOL would benefit from Time Warner’s network as well as its content. Without a doubt, it was the deal of the century. It was a “disruptive” merger that would change the telecommunications business in a far-reaching way.
Months before, two of the most prestigious law firms in New York had been working non-stop on said transaction; they were very proud, rightly, to be participating in the deal of the century. They say that the negotiations were one of the most technically advanced negotiations in the history of M&A. There were many late-night sushi dinners at the offices of one such firm in downtown Manhattan overlooking the Hudson. It was a dream come true for the young lawyers from both firms who worked on the business.
But readers will wonder… Read more
