completion accounts vs locked box

M&A | Valuation
Locked Box vs Completion Accounts in M&A: Differences, Risks, and Examples
ByAuxo Capital AdvisorsMarch 12, 2026October 22, 2026
Completion accounts and locked box are two primary pricing mechanisms used in mergers and acquisitions to determine the final purchase price. This guide explains how each structure works, how working capital and net debt adjustments are handled, and why completion accounts dominate U.S. middle-market transactions while locked box structures are more common in Europe.
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M&A | Valuation
Revenue Peg vs Working Capital Peg in M&A
ByAuxo Capital AdvisorsMarch 12, 2026October 22, 2026
A revenue peg and a working capital peg are two different mechanisms used to determine purchase price adjustments in M&A transactions. While working capital pegs are the standard approach in most middle-market deals, revenue pegs may be used in certain asset-light or recurring-revenue businesses. This guide explains how each method works, when buyers use them, and how they affect the bridge from enterprise value to final seller proceeds.
Read More Revenue Peg vs Working Capital Peg in M&A