M&A is a gamble. And with a failure rate estimated between 70% and 90% it is a pretty risky gamble. But the reward for success is high. How can you beat the odds and achieve a successful M&A deal?
The process will be long and CFOs need to be prepared to handle the various challenges that will arise along the way. When your relationship history with other competitors becomes a liability or your best-kept secrets inevitably spill out, how will you provide the damage control that is needed?
Meanwhile figuring out the price is a challenge in itself. You don’t want to appear too eager but you need to show enough interest to keep the deal moving. Shared synergies add a whole new layer of complication. Plus there’s the publicity aspect. What happens if the deal gets leaked?
And then comes the aftermath. Just because a deal has been signed does not mean that the work is done. The two companies must begin to work as one, and this means fixing technical issues such as different accounting standards and retraining employees. How will you tackle the transition?
A successful M&A is a huge achievement to add to your list. But getting there is not easy. CFOs must have answers to all the difficult questions that will arise in the process. This CFO eBook will examine some of the key challenges and offer strategies that will help CFOs plan for and carry out a profitable M&A.
Topics covered in this eBook include:
- An analysis of the value of M&As;
- What to do when you’re looking to sell;
- Techniques for leading an acquisition;
- Confidentiality and what to do when it is broken;
- M&A risks and how to curb them;
- How CFOs should proceed following a merger.