Developing YOUR M&A-transaction strategy

Before engaging in M&A, top management and the acquisition team need to develop the acquisition strategy including:

  • Transaction goals (incl. strategic alternatives) and transaction strategy
  • Acquisition criteria
  • Framework and constraints for transaction, e.g.
    • Maximum financing/deal size
    • Ownership structure
  • Commitment of top management and investor(s)
  • Planning to execute
    • Time schedule
    • Internal M&A team
    • Advisors
    • Communication strategy
  • To make this a meaningful effort, it is critical to:
    • Set realistic expectations for strategic benefits and synergies
    • Set up professional project management and effective coordination of the acquisition effort right from the start

Post by M. Hirt