Efficient M&A process: prerequisite for successful post merger integration
A well-structured and integrated M&A process is necessary for every acquisition and/or merger. Proper planning of the process at an early stage will help identifying significant optimisation potential in the phase of “growing together” –the optimal time with regard to steering of individual business segments, their integration and positioning within the joint coporation.
A holistic M&A process starts with the definition of strategically relevant takeover or merger targets. “Target” is not only referring to targeted corporations, but first of all to internal decision-making considerations: what is the reason for such a transaction? How does it fit to the existing business? How will the transaction be financed?
When deciding on possible targets, the acquiring party has to qualify a wide spectrum of industry-specific determinants. Information asymmetry of all kinds, unnecessary regional restrictions and competing companies with similar interests are essential challenges, which need to be anticipated during an M&A process right from the beginning.
The valuation of companies is another important part of the process, nowadays requiring various decisions to be made ahead of the process. In addition to well-rehearsed methodology, industry-specific expertise and good instincts are decisive at this stage.
Attributes like that will be found in the M&A practice of PJSC, which are regularly dealing with takeover constellations of different kinds and in different regions. We advise our clients in all steps of the M&A process – including integration and restructuring following the transaction.