“Asset Acquisition” is a transaction involving only the targeted purchase of the Assets of a company and not its Capital Stock. This buyout strategy allows the Acquirer to selectively choose the Assets that it will acquire and the Liabilities that it will assume, making it a popular option when targeting companies with an unattractive financial situation such as Bankruptcy. Unlike a Stock Acquisition or Merger where the Acquirer acquires all of the Assets and Liabilities (including unknown or undisclosed ones) of the target company as a matter of law, an Asset Acquisition can offer less risk and a more flexible deal structure.