Mergers & Acquisitions

Mergers & Acquisitions

Cyber Security in Mergers & Acquisitions

A factor that has become just as important in M&A activities, as any other part of the due diligence process, is the assessment of a company’s cyber security program.

The absence of a robust cybersecurity program is a problem. A company’s overall security posture can determine the fate of a deal.

Breaches that come to light during the due diligence process can derail a transaction.

The Importance of Cyber Security Due Diligence

We advise buyers to view cyber security programs as an ASSET.

Without that asset, the work that will be needed to be completed, post-purchase, could have a significant impact on the profitability of a purchased company. Therefore, should have an impact on the buying or selling price of the acquisition.

One of the factors that can affect the recommendation is how a company has handled past security breaches.

This brings serious gravity to lessons learned. If an organisation has learned from past incidents and mistakes, it shows a level of maturity and seriousness.

How Cyber Fortified Support the M&A Process

The research shows that the inclusion of a cybers security audit in M&A does more than simply fulfil a requirement or serve as window dressing.

When Cyber Fortified work alongside business brokers, commericals lawyers, we help them identify important discoveries through our cyber audit – Those results helps those teams and, more importantly, the buyers make informed decisions.

Our 9-Point Approach ensures that our cyber security audits cover key areas across in the due diligence process. During this time, we regularly report back to the business broker and the their team. This ensures full transparency across the wider M&A process, as well as being able to bring any new discoveries to the table in a timely manner.

Our main areas in the 9-Point Approach include:

Next Steps

We always recommend a scoping call to discuss your M&A strategy, whether you are the business broker or the buyer. You will also have the opportunity to ask our team some questions.

Please use the booking calendar, below, to schedule your scoping call: