Mergers and Acquisitions

The BUSINESS VALUE GROUP team has participated in several Mergers and Acquisitions. Our first rule is preserve the value of the entity you bought. Only then can one BUILD on that base to the next phase of new value creation.

We have an extensive set of planning tools and a process that we have followed successfully in our engagements. According to McKinsey consulting studies, upwards of 70% of M&A activity results in deals that fail to meet their financial or value creation goals.

The BUSINESS VALUE GROUP model partly explains how we work to maximize the value creation supporting an M&A strategy. We work initially to prevent or minimize the DESTRUCTION of value. Our offering supports several stages including Due Diligence, Negotiation, Disciplined Integration, Increased Effectiveness, and Value creation projects.

Integration with a difference

We have found that upwards of 80% of the work effort in Mergers and Acquisition activity is in the early M&A part. The part that is constantly underinvested in is the post acquisition INTEGRATION part.

BUSINESS VALUE GROUP regularly helps entities that are legally owned by the same company but continue to operate as if they are still stand alone ‘Outside the System’. Possibly a better term is that they are “dis-integrated” on not touched or distracted.

The poor integration oftentimes results in enormous lost value and it is quite common for companies to have write offs or impairments due to failed integrations.

BUSINESS VALUE GROUP has deep domain expertise in working to make sure that the parts are in fact shaped and designed to work together. Meaning designed to fit into the WHOLE and make the value of the whole greater than the sum of the parts. To learn more, schedule a call with us, today.