M&A is one of the quickest paths to growth, but it’s not the surest. Often, stakeholders don’t get the enterprise value promised from the deal. Deals are inherently complex and laden with risk, whether they occur domestically or in a foreign market. Valuations are complicated by clarity of cash flows, complex accounting rules and tax legislation. Integrations are difficult to execute.
To best position yourself to deliver value from your transaction, you need to:
This will help you make better decisions around optimal market entry options, be more powerful in your negotiations, anticipate or avoid risks that can happen post-close, and meet strategic corporate objectives. The result can be worth it — execution of your deal, synergies captured during your integration, and value delivered to your stakeholders.