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.

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

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 months post completion.

The detail and accuracy of the synergy forecast increased towards completion as data is received. On Completion it provides the backbone of the integration plan.