Mergers & Acquisitions
Mergers & Acquisitions continue to be a mainstay for global business strategies as an increasing number of companies look for growth through acquisition.
M&A is a two-sided coin. On one side is acquisition, a deal sourced and properly valuated through DD and analysis. The other side is Integration. Without a clear structure, process, and governance the integration will become at best a drawn out and costly affair.
At worst it breeds a culture of instability, disorganised operations, chaotic back office with reputational damage inflicted as an unprepared acquirer.
Kierstone has the expertise to navigate your company through this process and avoid the pitfalls and oversights that sadly are commonplace without proper guidance. We will give you the assurance you need to proceed with confidence throughout the full process of a transaction.
What do we cover?
Kierstone provides full programme roles to support the below M&A scope:
- Post-Merger Integrations (Detailed Project Plans with focus on business developement, and synergy realisation)
- Separations/Divestitures (TSA governance and supporting project plans)
- PMI Strategy
- Future target operating model design
- Acquisition preparation (EOTB 'Eyes of the buyer' analysis)
- Due Diligence (Kierstone is partnered with Tax, Legal & Regulatory Compliance specialists)
- Future M&A playbook
Why choose Kierstone?
Kierstone continues to support M&A transactions across multiple industries:
- Financial services (Private Equity, Insurance, Capital Markets, Private Wealth)
We are fast establishing the Kierstone brand as a service leader of excellence within the PMI space, unlocking £95M worth of savings across our clients to date.
1. One Culture
Many deals fail because a strategy for integrating (or not integrating) the two cultures was not clearly defined. Too often ego plays a part, with the buyer enforcing theirs to be the dominant culture post close. Do not lose sight of the value of the culture you are buying and align your decision with the overall M&A Goals and Strategy.
- Whose culture will become dominant?
- Will both cultures 'peacefully co-exist'?
- Will the merger result in a new Hybrid culture?
2. Communication is Key
The more that can be done to reduce the stress and fear of employees, the better. Communicate early and often.
3. Be realistic about post-closing objectives
The excitement and optimism that follows a transaction provides a wonderful infectious energy that drives change, but make sure your Post-Merger goals are realistic and attainable. Failing to hit milestones will only serve to disappoint investors, employees and customers and reflect poorly on the management team. This is particularly true for financial and valuation targets.
4. TSA Governance (Transitional Service Agreement)
A legally & commercially binding document, defining the areas that are required to separate/integrate with the related timescales of exit, any functions that require shared services to continue for a set period, and associated financial impacts. Alongside this key TSA structure, a clear roadmap of 12, 24 & 36 month goals and objectives is a must, and needs to be closely monitored.