Only one out of three completed M&A deals are considered accretive to shareholder value. This ignores the fact that less than 20% of deals cross the finish line from inception and become a completed deal. The odds are stacked against any prospective acquirer to complete a deal in the first place and then make it work…so what will improve your 6% to 7% chance of getting it done right?
The Right Deal
| The Right Due Diligence
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The Right Agreements
| Proper Integration
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If you want to use M&A as a strategic tool, start by recognizing it has a low level of success. Pick the right opportunity in your own time, run the acquisition process to your full satisfaction, document it appropriately and then rapidly integrate in the key areas.
