SUCCESSFUL ACQUISITIONS

M&A Insights from David Braun and Other Experts

Latest Articles

3 Ways to Maintain Momentum in M&A

3 Ways to Maintain Momentum from LOI to Close

After signing a letter of intent, you expect the deal to close, but there are a number of reasons acquisitions fail ranging from regulatory hurdles to unexpected challenges that arise during due diligence to cultural clashes. In my last post, I discussed reasons deals fall apart even after both parties sign a LOI. Here are […]

3 Reasons Deals Fall Apart Post LOI

3 Reasons Deals Fall Apart Post Letter of Intent

Remember that just because a deal is announced, it doesn’t mean it will go through. A record number of M&A transactions announced in 2015 have been cancelled bringing the total deal value down from $4.374 trillion to $78 billion. Unfortunately cancelled deals mean a lot of time, resources and effort were wasted putting together these […]

Unilever Buys Dollar Shave

Why Unilever Paid $1 Billion for Unprofitable Dollar Shave Club

Unilever purchased Dollar Shave Club, a startup that sells razors and grooming products to men, for $1 billion. That price may seem absurd for a company that is not yet profitable, however Dollar Shave club is growing quickly. The company’s revenue is expected to jump from $152 million in 2015 to $200 million in 2016. Dollar […]

Integration is a Top Factor for Acquisition Success

Integration is a Top Factor for Acquisition Success

One of the primary reasons acquisitions fail is because of integration challenges post-closing. Implementing your integration plan smoothly and effectively is key to realizing the synergies of your acquisition. In a KPMG survey, U.S. executives cited a well-executed integration plan as the top factor that leads to deal success. Integration is a massive undertaking that you […]

Verizon Yahoo Acquisition

Verizon Builds Digital Ad Business with Yahoo Acquisition

Another blockbuster tech deal was announced yesterday. Verizon will acquire Yahoo’s core business for $4.83 billion to boost its digital advertising capabilities. The deal includes Yahoo’s search, mail content and ad-tech business, but does not include Yahoo’s shares in Alibaba and Yahoo Japan. The combined company will reach over one billion users. Verizon plans to merge Yahoo […]

M&A Sunk Costs

Are Sunk Costs Driving Your Acquisition?

You’ve spent a lot of time, energy and money on an acquisition…but should you still go through with it? In answering this question, it can be tempting to cite the amount of resources that have already been invested as reasons to follow through with the deal, but this would be a mistake. These sunk costs […]

M&A Update: 1H 2016 [Infographic]

After hitting record-high levels in 2015, global M&A activity dropped significantly in the first half of 2016. It was the slowest first six month period for global mergers and acquisitions in the past two years. The value of deals decreased from $2.03 trillion to $1.65 trillion (19%) while the number of deals decreased from 22,153 […]

Remembering the Human Factor in M&A

Remembering the Human Factor in M&A

For an owner of a privately-held company, the business is their baby and using hard-nosed tactics to negotiate for the lowest price is ill-advised. The human factor cannot be overlooked when pursuing M&A and establishing trust with an owner is critical. Buying a privately-held business is not like buying a car where you can negotiate the […]

How to Be Successful in M&A: Think Integration

How to Be Successful in M&A: Think Integration

You’ve developed your strategy, identified the right markets, negotiated with the owner and papered the deal. If you think once you sign on the dotted line your job is done, you are mistaken. The M&A process doesn’t end when the deal closes. M&A is really a journey “from beginning to beginning” where the consummation of […]

Tax Considerations in M&A

M&A Tax Issues You Need to Know – Webinar

Did you know that for tax purposes, all deals are viewed as stock purchases or asset purchases, regardless how they are structured for corporate reasons? The structure of a deal – stock or asset – will have an impact on both buyer and seller. Understanding the tax implications of your deal is important because it may […]

Brexit How business leaders should react

The Results of “Brexit”– How Business Leaders Should React

On June 23 the United Kingdom voted to leave the European Union (E.U.). Many were shocked at the outcome of “Brexit” and the markets reacted badly. The day following the vote, the pound dropped down to the lowest level against the dollar since 1985, stocks in the U.K. and U.S. fell, and on June 27 […]

Capstone Shares Growth Story with NACUSO

Are you looking for growth? If you are like most leaders, the answer is probably “yes.” Growth is essential to every business regardless of industry, size or geography. Even if you are growing now, you must continue to grow to be successful in the future. At Capstone we believe in the maxim “grow or die” and […]

3 Ways to Get a Fresh Perspective on Growth

3 Ways to Get a Fresh Perspective on Business Growth

It can be easy to get stuck in the rut and slip into a routine. Far too often leaders stay the course simply because “it’s how we’ve always done things.” However unintentionally maintaining business as usual can be extremely dangerous for the future of your organization. The reality is that as time passes, your markets, […]

Kashi Acquires Pure Organic

A Healthy Appetite – Kashi Acquires Pure Organic

Consumer demand for healthy snacks is on the rise. In 2015, sales of conventional products were mostly flat (1.6%) while sales for specialty products grew by 6% and sales for natural products grew by 12.6%. U.S. natural and organic food and beverages sales also grew by 10.7% last year. Not only are consumers more health conscious, they are also snacking […]

Microsoft Buys LinkedIn 1140

Microsoft and LinkedIn Use Acquisition to Combat Stagnant Growth

Microsoft has agreed to acquire LinkedIn for $26.2 billion. This is a massive transaction in the marketplace and is the largest acquisition by Microsoft to-date. At $196 per share, Microsoft will pay a 50% premium over LinkedIn’s closing shares on Friday, June 10. LinkedIn will continue to operate as a separate entity. There is also $725 […]

Negotiate with 2 Owners

How to Negotiate When a Company Has Two Owners

  Q: When a company has two owners that are equally involved is it advisable to ask them to choose only one negotiator, especially at the final stages? A: Negotiating with one owner of a company and convincing them to sell their business can already be challenging. The situation becomes more complex when the company you wish to […]

How to avoid irrational decisionmaking in M&A

How to Avoid Irrational Decision-Making in M&A

Most people tend to go with their “gut” when making decisions rather than relying on the accurate data. You might think you’re the exception, but studies conducted by psychologists Daniel Kahnerman and Amos Tversky show that “when it comes to decision-making, humans are predisposed to irrationality.” No one likes to think of themselves in this […]

When Is the Best Time for M&A

When Is the Best Time to Do M&A?

Some might say the best time to pursue an acquisition is when the right opportunity comes along, but they’re wrong. The best time to pursue M&A is whenever you are ready. The best opportunities are those that you seek out proactively. If you wait around for opportunity to come to you, you may be missing […]

Should You Leave Negotiation to Experts

Should You Leave Negotiating to the Experts?

Negotiating during an acquisition can be tricky at times. How firm should you be? What does the other side really want? How can you get the seller on board? It can be tempting to hand it over to the experts when you reach this point, but this would be a mistake. During negotiations, your primary […]

Deal Changer or Deal Breaker

Deal Changer or Deal Breaker? Assessing Risk in Due Diligence

During formal due diligence, which typically begins after signing the letter of intent, you gain access to in-depth information and begin taking a closer look at the acquisition target. Traditionally the primary purpose of this stage of the M&A is to identify significant risks that could impact the terms of the deal or put it […]