JP Morgan Launches Escrow Risk Mitigation Service for M&A Transactions in Europe
With the expansion of merger and acquisition (M&A) activity in Europe year to date, JP Morgan Treasury Services has launched new escrow services in Europe to help clients mitigate counterparty risk in M&A transactions. Already an escrow provider in the UK, JP Morgan now provides escrow services in France under local law to help clients manage counterparty risk in M&A transactions, litigations, environmental clean-ups, regulatory compliance, and project finance.
“Cash and short-term investments held by large global and European companies are at their highest level in 10 years, and there is enough liquidity to support investment banking transactions,” said Severin Brizay, head of JP Morgan’s M&A business in France. “However, recent market uncertainty has cast the spotlight on how companies can close critical transactions quickly, accurately and securely.”
“Setting-up an escrow with JP Morgan enables clients to safeguard their designated assets and mitigate risk when performing strategic transactions,” said Faisal Ansari, head of JP Morgan’s international escrow business. “JP Morgan’s dedicated global escrow team is committed to servicing clients’ escrow needs as part of an integrated treasury management offering. We have the balance sheet strength and global capabilities to support cross-border transactions, across multiple jurisdictions, combined with an expanding local market presence and knowledge in European markets to manage in-country escrow needs.”