It’s early March, and you know what that means: March Madness is right around the corner. In this blog post, we'll explore energy M&A legal trends in 2023 using college basketball analogies to paint a picture of what to expect and look out for in the coming year.

1. The Referees
   Just as referees enforce the rules of the game, regulators and antitrust authorities are responsible for ensuring that energy M&A transactions comply with applicable laws and regulations. In 2023, we can expect the role of regulators and antitrust authorities to be even more critical as energy companies pursue mergers and acquisitions. Companies must work closely with their legal teams to navigate complex regulations and ensure transactions comply with the law.

2. The Game Plan
   In college basketball, coaches develop a game plan that they believe will lead their team to victory. Similarly, energy companies must develop effective legal strategies to guide them through the M&A process. This strategy may include conducting due diligence, negotiating transaction documents and working with governmental authorities to obtain necessary approvals. Companies will need to work closely with their legal teams to develop a game plan tailored to their specific needs, timelines and objectives.

3. The Scoreboard
   In college basketball, the scoreboard matches each team's grind, reflecting the current state of the game. Similarly, energy companies will need to keep track of the legal landscape and adapt their strategy as needed. For example, if stakeholders raise concerns about a proposed transaction, companies may need to modify their approach (or even abandon the transaction altogether). Companies must work closely with their legal teams to stay up-to-date on the latest legal developments and adjust their strategies accordingly.

4. The Foul Line
   Basketball teams must shoot free throws from the foul line when fouled by their opponents. Similarly, energy companies must comply with legal requirements and avoid committing "fouls" during the M&A process, including ensuring compliance with environmental regulations and respecting the rights of landowners and local communities. Companies will need to work closely with their legal teams to identify potential risks and take steps to mitigate them as much as possible.

5. Championships
   The ultimate goal is to win championships. Similarly, in energy M&A activity, the ultimate goal is to create value for shareholders and other stakeholders. However, achieving this goal requires careful planning and execution (including effectively navigating a complex legal landscape). Companies will need to work closely with their legal teams to ensure that their M&A transactions are successful.

2023 Outlook

The energy industry will likely see continued M&A activity in 2023, with deal volume expected to rise and companies focusing on strategic acquisitions, renewables, private equity and cross-border deals. Like in college basketball, where teams adapt and evolve to succeed, the energy industry must continue adapting and evolving to stay ahead of the ever-changing markets.