Pre-Acquisition Due Diligence In Mergers And Acquisitions: Legal And Regulatory Framework In India
Ms. Dipti Rath, Amity Institute of Advanced Legal Studies (AIALS), Amity University, Noida, UP
ABSTRACT
Pre-acquisition due diligence forms the foundation of careful corporate transactional practice. This paper explores the legal and regulatory framework governing pre-acquisition due diligence in Indian mergers and acquisitions, with a focus on the interaction between the Companies Act 2013, the Competition Act 2002, the SEBI Takeover Regulations 2011, and the Foreign Exchange Management Act 1999. Relying on practical workflows, judicial precedents, and industry insights, the paper highlights principal risk involved, common red flags, and the structural impact of due diligence findings on deal terms. The paper concludes with reform proposals to address persistent challenges of opacity, poor documentation, and regulatory fragmentation in Indian M&A practice
Keywords: Due Diligence, Mergers & Acquisitions, SEBI, CCI, FEMA, Corporate Law India
