Synergy analysis and validation

Bolt-on acquisitions generating revenue and cost synergies are becoming an increasing focus of both corporate and private equity M&A activity and provide a potential buyer with a comprehensive advantage over other buyers. The detail and accuracy of a synergy forecast increases towards completion as data is received. On completion, it provides the backbone of the integration plan.

If this is your situation 

• Synergies may underpin the purchase price you are prepared to pay.
• There are likely to be significant one-off costs and implementation risks from executing the synergies. 

How PwC can help you 

• Given the importance of synergies in supporting the valuation of a business, we conduct a detailed review of the synergy proposals underpinning the deal. The focus is on achievability, cost to implementation and timing of delivery. 
• Our team assesses all aspects of synergy delivery including key risks, interdependencies and the probability of their successful achievement. 
• Working with management we will scope out an implementation plan, which will include a forecast of the actions, costs and profit impact in the post-completion months.