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[Music] a non-disclosure agreement often referred to as the nda or the confidentiality agreement is typically the very first binding agreement which the parties to an m a transaction enter into the purpose of an nda is to protect the confidentiality or secrecy of the information shared with the buyer or exchanged between the parties and nda may impose obligations on the buyer alone or mutual obligations may also be cast upon the parties to an m a transaction [Music] similarly it is the seller and the target company which derives the maximum benefit out of an nda since invariably they will be sharing confidential information with a potential buyer to facilitate an mda transaction in addition the seller and the target company also stand exposed to adverse ramifications on their business employees customers and suppliers should the news of the potential m a deal be leaked prematurely in case the target happens to be a listed entity on top of these issues theres an additional risk of its