Joint ventures are an important strategic alternative to acquisitions offering a risk sharing approach particularly when entering new international markets or where collaboration is essential to the development of new ideas or products.
Joint ventures can involve complex issues and legal structures and can take different forms including:
- Corporate joint ventures involving shareholder agreements;
- Joint ventures based on contractual arrangements or strategic alliances.
Joint ventures are commonplace particularly in the technology
and media sectors. Our work with some of the world's leading
companies in these sectors puts us at the forefront of helping to
design innovative joint venture structures. This experience enables
us to identify, and resolve, the key issues arising on any joint
venture - from the initial structuring (in a tax efficient manner),
through funding (via cash and non-cash commitments), profit sharing
and governance arrangements during the life of the venture and,
ultimately, the introduction of new stakeholders alongside, or exit
arrangements required by, the joint venture parties. Our
international reach allows us to advise on any cross-border issues,
including local market practice, that will often arise.
Joint ventures are also prevalent in the real estate sector where collaboration allows parties to harness complementary skills, experience and finance to undertake larger and complex projects. We regularly advise on joint ventures in the real estate sector, often involving off shore jurisdictions and innovative tax-efficient structures.
These joint venture arrangements will frequently also involve the Olswang corporate group working alongside colleagues in our Regulatory, Tax, Intellectual Property and Employment groups.