Business-Minded Legal Solutions

Business transactions include mergers and acquisitions

In Texas and elsewhere, a business merger can embody a variety of different types of transactions. The merger may be attempting to merge two companies on a relatively equal basis due to their similar capital value. Business transactions can also involve the incorporation of a smaller business in the larger one as a subsidiary, in which case it may be referred to as an acquisition or a merger.

Some companies exist with a principal purpose of acquiring or merging with other businesses. One such company is Global Partner Acquisition Corp. It is a special purpose acquisition company that was formed for the specific purpose of effectuating mergers, reorganizations, acquisitions and other types of business transactions.

Global recently announced being involved in a merger with Purple Innovation, LLC. The transaction entails Purple becoming a subsidiary of Global, based on a set value of $900 million. In that sense, the transaction is more akin to an acquisition. However, it is governed by a formal merger agreement, the terms of which have not fully been released. Purple is a successful comfort technology company that deals in sleep products such as mattresses, cushioning for seating and technology that relates to easing the methods that people use for standing.

Purple has decades of experience in its field and thus presents a solid platform to foster innovative future technologies. The company has the advantage of vertical integration of its operations, allowing for versatility and rapid development of new products and processes. Purple also reportedly has a strong foundation of intellectual property ownership that protects its creations and technologies. The company has a wide and deep presence on social media networks which is also a plus factor in such business transactions. The process for consummating the complex deal is similar in all states, including in Texas.

Source:, “Global Partner Acquisition Corp. And Purple Innovation, LLC Announce Definitive Merger Agreement,” Nov. 2, 2017