Mergers, acquisitions, and spin-offs all play a crucial role in an enterprise organization’s growth. When guided by a solid business strategy, these activities support: rapid expansion, reduction of risks, diversification, decreases in costs, and other competitive advantages.
However, these transactions are not without their challenges and risks to the health of the business. Undertaking a merger, acquisition, or spin-off introduces a great deal of complexity, ambiguity, and time-consuming projects.
Some of the most common challenges businesses encounter when completing a merger, acquisition, or spin-off include:
- Data integrity
- Downtime and business continuity
- Coexistence
- Communication and stakeholder management
Without an expertly designed strategy led by a knowledgeable partner, a newly (re)formed business is vulnerable to serious risks and may fail to realize the value the transaction was expected to generate.