The challenge
A second-round bid. Three weeks until binding offers. More than 1,400 documents across eight workstreams and two Latin American jurisdictions.
Much of the data room was in Spanish, and many documents were available to view only. Paul Hastings, local counsel in two jurisdictions, and labour and tax specialists all contributed to one red flag report. Every update needed a clear source.
The work kept moving. Sellers uploaded new documents and answered questions throughout the process. When the buyer became preferred bidder, the deal insurer added its own underwriting questionnaire.
The solution
Paul Hastings brought Alaro in from day one. Alaro indexed the data room by jurisdiction, language, access and reviewer, allocated documents between the deal team and local counsel, and prepared an initial gap analysis.
Within 12 hours, Alaro delivered a first full draft red flag report based on the downloadable documents, using Paul Hastings’ own format. The team shared it with local counsel the next day.
From there, instructions arrived by email, usually with a same-day or next-morning deadline. Alaro worked directly in the firm’s Word draft, returning tracked changes with data-room references and flagging open points for the team or local counsel to confirm.
“This is great. Clear, thorough and easy to follow. The client will really appreciate this.”
Paul Hastings deal team
How it works
- The team sends the instruction. An email sets out the task, latest draft or new data-room documents, and deadline.
- Alaro carries out the work. Report updates, Q&A trackers and allocation lists come back in the firm’s format, with tracked changes and source references.
- The lawyers review and decide. Paul Hastings owns the report and its conclusions; local counsel confirms local-law points. Alaro keeps the supporting records current for the next round.
The results
Across eleven weeks, Alaro supported the diligence process from the initial data-room index through report updates and the insurer’s questionnaire.
- 1,429 documents indexed. The first pass classified the data room by jurisdiction, language, access and reviewer.
- 12 hours to the first full draft. The red flag report arrived in Paul Hastings’ own format, ready for the team’s review.
- 899 newly available documents checked the same day. When additional documents became downloadable, Alaro checked them against the current report for material gaps in under ten hours from go-ahead to delivery.
- A ten-section report kept current. Alaro delivered successive updates in tracked changes, with a stated cut-off and an audit of the sources behind the changes.
- More than 200 seller Q&A items tracked. A consolidated workbook kept answers and outstanding points together.
- Source evidence returned in 36 minutes. When the team asked for the data-room references behind a report section, Alaro returned an annotated schedule. A separate request for an exposure breakdown was answered in 68 minutes.
- Three law firms’ answers in one insurer response. Alaro combined Paul Hastings’ and both local counsel’s answers word for word, labelled each by source, and highlighted follow-ups for the team.
Why Alaro?
For the deal team, Alaro fitted into the way the work was already being done: email instructions, Word drafts and the firm’s own reporting standards.
- The firm’s format, from the start. Reports, defined terms, Q&A trackers and allocation lists came back in Paul Hastings’ house style.
- Sources beside the work. Data-room references made proposed changes traceable and gave the team and local counsel a direct basis for checking them.
- Continuity as the deal moved. Alaro carried the context from one report turn to the next, incorporating new documents and seller answers without starting again.
- Lawyers retain judgment. Alaro handled the drafting and coordination; Paul Hastings and local counsel reviewed the work and owned the legal conclusions.
Paul Hastings and Alaro: quick answers
What did Paul Hastings use Alaro for?
Data-room indexing and reviewer allocation, gap analysis, drafting and updating the red flag report, defined terms, seller Q&A tracking, information request lists, source audits and the deal insurer’s underwriting questionnaire.
How large was the data room?
The first export contained 1,429 documents. Later, 899 documents became newly downloadable and were checked against the current report.
How quickly did Alaro deliver?
The first full draft report arrived in 12 hours. Seven of eleven timed requests were delivered the same day, with a focused source-reference request answered in 36 minutes.
Who was responsible for the final report?
The Paul Hastings deal team owned the report and its conclusions. Local counsel confirmed local-law points, and the team reviewed Alaro’s proposed changes before sharing its work with the client.
