Commentary: Capturing value after the deal

Capturing value after the deal

Capturing value after the deal

Given the importance of post-deal management as we identified in our previous commentaries - "Making Mergers Work for Profitable Growth", and "Generating Value Through Acquisitions" -, we dug below the surface to uncover the keys to capturing value after the deal.

Exploring practices of some 40+ European based SME's that have successfully used acquisitions to generate profitable growth, we found that strong post-merger management has three distinct characteristics:

  1. A compelling, ambitious vision, understood and shared by shareholders/owners and management alike. Leaders have a vision and strategy for achieving it that almost always extend beyond the immediate deal.
  2. A pragmatic approach to the alignment of all the pieces. They prepare meticulously for the task of bringing organization structures, processes, systems, and culture into alignment with the vision.
  3. A plan for a fast and focused transition. They accelerate the implementation of key changes so as to capture value and establish the new company.

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