M&A Partners is in business because
“When compared to industry share price indices or broad-based averages, mergers are often found to succeed less than half the time. In many cases transactions fail to enhance shareholder value (as measured against overall stock market performance, industry average returns, pre-merger trends, or a variety of other definitions)."
“17% add value, 30% no change, 53% reduce value."
”“Revenue growth is found to decline post-merger for both the target and the acquiring firm in a majority of cases”
" Firms that focused on in-depth integration planning did 66% better than average.Pursuing synergies vigorously and communicating well improved performance by 45%.”
“In all deals, cultural clashes had the potential to be a serious problem, and firms that avoided those problems had greater success. "
The Effects of Mergers and Post-Merger Integration
By Paul A. Pautler, Bureau of Economics
Federal Trade Commission
When a merger or aquisition does not perform well, the management team is often quick to blame culture.. Yet an amazing 94 % of companies do acquisitions without giving any meaningful consideration to culture risks prior to the deal. WE KNOW HOW.
We all know by now that few corporate mergers or acquisitions achieve the results envisioned the day the deal is struck. Lack of structure, discipline and transparency, difficulties in cross-team communications, a clash of cultures, the inability to cope with unforeseen events, and lack of integration team coordination all contribute to deal-eroding delays and synergy leakage — an environment that makes success a rare and difficult accomplishment.
However, since our inception, M&A Partners has been focused on the development and deployment of M&A advice, practices and tools that can assure the success of today's acquirers. We offer a suite of services that directly impact the most critical phases of making acquisitions.
Culture Due Diligence - Our MA Culture FIT Analysis will compare and contrast an acquirers "baseline" culture with a target companies culture to identify in advance the cultural benefits or challenges to the merger. The data from the analysis will drill down from enterprise to department to work groups and can be accomplished in 2-3 weeks while maintaining regulatory compliance. Strategic fit, Financial fit.......... CULTURE FIT.
Our Baseline Assessment will identify the current state of an acquirers culture value drivers and help define the best and worst acquisition targets from a culture perspective. The baseline also provides a detailed opinion of the buyer company culture which can be used for improvement initiatives as well as information to communicate as an advantage when negotiating with target acquisitions.
Leadership and Integration Team Training - Not only does M&A Partners have the support services, tools, technology and advice to assure their success, we can teach them how to be more effective now or in the future. Our integration workshops are ideal for new participants assigned to help integrate a new acquisition or to equip future integration leaders with the best practices, procedures, protocols and workflow for merger integration. We have the talent, experience and senior executives to deliver the knowledge your people need and the tools to support them through the first cycle......and beyond.
Divestiture Preparation - When its time to remove an underperforming asset or sell a unit that no longer fits into the portfolio mix, or its time to raise capital by liquidating , one of the nuances in divestiture planning is M&a Partners' Culture Baseline Assessment. This is a third party objective assessment of the cultural risks and /or rewards of acquiring your company. Seldom if ever, does a buyer know in advance that the target acquisition will outperform other candidates when it comes to the integration, deal drivers and future performance. Today, you can know what to do to advance the value of a company prior to divestiture and we will identify and quantify the culture findings and actions taken.
Guidance 90 - On-site advisors for the most critical time, between announcement and close. We come equipped with years of experience, the best credentials and all the tools, templates and technology you need
M&A Guidance Desk - The cost of our on-line Guidance Desk is usually about one FTE per month. Your return on investment is derived from shared best practices to minimize the time required to organize and complete the integration. Maintaining integration team momentum and building a repetitive platform of success practices from acquisition to acquisition will make your return on investment geometric. The Guidance Desk directly addresses the challenges that plague the integration phase: lack of structure and process, time delays, inefficient use of management time, cost overruns, security issues and a dramatic loss of productivity. The M&A Guidance Desk is offered as a monthly subscription and includes a "partner" consultant, on-line desktop to desktop communications, the M&A Cockpit integration management system and access to more than 1000 M&A specific tools and templates. Our advisor/partners are available for on-site consulting as required. You decide.
Increase Synergy Capture
Decrease Management Time
Reduced Vulnerabilities
Retain In-house Knowledge
M&A Cockpit Integration Management System - The new M&A Cockpit is todays solution for automating the integration process. It tracks all actions, issues and metrics on a real-time basis while providing team collaboration and workflow. All documents are warehoused with version control and accessible to team members based on their authorization level. The Cockpit provides the highest level of security and is extremely intuitive to use
In the historic world of M&A integration, plans have been tracked in spreadsheets, and team communication and coordination has consisted of e-mail, telephone tag and countless meetings. It is small wonder that most acquisitions have failed to deliver the promises set by management when the deal was announced.
Human factors, including simply keeping stakeholders in the integration process, and moving the plan forward have always been a huge challenge. But, now with the M&A Partners M&A Cockpit™, the entire integration team and the plan details are instantly visible and actionable. And, the status of every task is updated in real time, making team collaboration, project management and mid-course corrections easy. The M&A Cockpit can also track costs and the achieved value of every planned synergy.
M&A Partners Summit Award
is presented to our clients.
Designed by award-winning artist, Blair Muhlestein of Loveland, Colorado