M&A Foundations · glossary
Proof that the buyer's financing is fully committed before it signs, so the money cannot fail to arrive at completion. It is strict in public takeovers and common in auctions, and sellers increasingly expect it on private deals too. Chapter 5
Explained in Chapter 5, Preparing for a Deal, of M&A Foundations.
The main page for this term is Certain funds, in Finance Deals & Syndicated Lending.
Funding lined up. Cash from the balance sheet, debt from banks, or new equity — whatever the source, it must be arranged early, because sellers now expect it. In auctions you will hear the term certain funds: the standard, borrowed from public takeovers, that a bidder should have binding financing commitments with only minimal conditions before its bid is accepted. A private seller cannot force this on anyone, but a bid “subject to financing” is worth a fraction of its…Read Chapter 5, Preparing for a Deal →
Every chapter of M&A Foundations is free to read, including the full training share purchase agreement.
Related terms
Where this term lives
This term is part of one complete fictional deal, with every document attached and a test after every chapter. Open M&A Foundations → · All terms A–Z →