Legal DD of M&A transactions in the Republic of Peru places a heavy emphasis on the validity & applicability of IP rights and the effectiveness of technological assets.
Conducting an M&A transaction in the Republic of Peru primarily means acquiring shares of a Peruvian company. Therefore, it requires a thorough analysis of:
- corporate & environmental legislation;
- labor relations;
- real estate;
- personal data & insurance.
The main focus of legal DD in Peru will be on acquired assets; hence, legal DD of a Peruvian company should include:
- administrative, taxation & regulatory matters;
- assets-related litigation & insurance.
Acquiring technology companies in the Republic of Peru differs from acquisition of conventional companies. The former depend on 3rd parties & technology providers for the equipment necessary for ensuring their operational sustainability. Therefore, DD of a technology company in the Republic of Peru places a heavy emphasis on issues related to data privacy & cybersecurity, 3rd parties’ IP rights & any other information related to potential issues with know-how rights.
Normally, DD of deals involving share acquisition in Peru takes from 4 to 6 weeks, while DD of deals involving asset acquisition in Peru takes 3-5 weeks. Their duration depends on the amount & complexity of data in each particular case.
Peru: IPR Registration
Pursuant to Peruvian legislation, these IP rights can be registered:
- industrial designs;
- utility models;
IP registration in the Republic of Peru is mandatory. Registering copyrights & trademarks in the Republic of Peru is optional. Those who own IP property like this are entitled to certain rights even if they refrain from registering their products.
All IP obtained as per service agreements or employment contracts is considered employers’ property, unless parties agree otherwise.
Interested in performing DD of an M&A deal in the Republic of Peru? Seeking to acquire a company in Peru? Please, feel free to contact IQ Decision UK.