Weak Industries Ltd. is contemplating to sell its business to Expensive Enterprises Ltd. (EEL). As a Practising Company Secretary, EEL has engaged you to create a 'data room' and take further steps. Explain to the manage

A Data Room provides the following benefits:- Removes ambiguity in the minds of buyer about the profitability, growth prospectus, and sustainability of business that is proposed to be bought. Provides material information that helps in doing a SWOT analysis. It enables the buyer to do a better bargain through the analysis of the data. May expose the weakness of the seller which is not directly provided to the buyer- For example, a material off balance sheet transaction. Provides data that helps in better Valuation of business for both buyer and seller.