Mediation

Mediation is an assisted dispute resolution process in which a neutral and independent third party (the mediator) facilitates communication between parties to help them reach a mutually acceptable solution, without imposing a decision. It differs from arbitration (where the arbitrator decides) and judicial proceedings. In M&A, mediation resolves shareholder disputes on valuation, post-closing completion accounts disagreements and earn-out disputes. It is faster, confidential and preserves commercial relationships.

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Example: two shareholders of a Franco-Swiss joint venture disagree on the buyout price of a 40% stake — one values the company at CHF 12.0 million, the other at CHF 18.0 million. Rather than opening arbitration proceedings (18–24 months, CHF 200,000+ fees), the parties agree to mediation. Over 6 sessions in 3 months, a settlement is reached at CHF 14.5 million — saving time, cost and preserving the commercial relationship between the two groups.

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Hectelion experts intervene in financial mediations to provide the independent technical analysis needed to bridge valuation gaps and facilitate settlement.