The Road to Successful Deal Execution
The excitement of signing a deal is one of the most exciting times in M&A. The excitement of signing the deal is among the most thrilling moments of any M&A transaction.
Acquiring companies often assess their success in acquiring companies against goals of synergies and growth they have set for themselves prior to the acquisition. When these targets are achieved or exceeded, the buyer believes that they have succeeded in generating value through M&A. However, the reality is that these successes usually come at a cost to existing business momentum and operational efficiency.
To avoid this, buying companies should ensure that a clearly defined integration plan is in place prior to the deal is concluded. This process should include detailed due diligence in order to determine the plan’s feasibility and ensure that the necessary resources are in place.
A management team “deal champion” who actively helps to bring the deal process through to completion and collaborates with advisers during the assessment phase is critical. This can help avoid the common M&A trap of losing interest, which can result in deals falling over mid-way through the process.
In order for companies to acquire companies to speed up and enhance their M&A processes, it’s crucial that they have the right insight into the capital markets. With PitchBook’s objective and reliable data, companies can better justify valuations, concentrate conversations and drive efficient M&A processes.