Post-Merger Integration with VDR

Most mergers or acquisitions involve teams of people undertaking many months of hard work, and when the deal finally closes there is a temptation to believe that the deal has been completed successfully. But M&A history is strewn with examples of transactions that made it over the finishing line but then proceeded never to achieve the expectations and targets that were set for them. Therefore experienced, serial acquirors know that the key to realizing the underpinned deal rationale depends on a well-planned and executed post-merger integration (PMI) process.

What is post-merger integration?

Post-merger integration is when two or more companies come together to maximize their synergies. The companies achieve their original goals: expanding market share, reducing costs, increasing profits—expanding the customer base, scaling, etc. But a successful integration process involves planning as well as execution and begins many weeks or months before the deal closes, in fact immediately after a successful due diligence process. During this challenging process, companies must integrate their technology, systems, knowledge, and employees. They must define their common internal office culture that both parties are comfortable with, structure new business policies, new departments, and iron out their operational nitty-gritty.

Integration does not have any fixed time limits, and it may take more than one year for companies to merge fully. There are many aspects to integration that directly affect the timing of this process.

A PMI, especially for larger transactions, faces many challenges. It is not only the copious volume of documents and information that needs to be shared among the deal and PMI teams of both the acquiror and the target as well as their advisors and consultants, who may be geographically dispersed. Moreover the information that needs to be shared is confidential and involves personally identifiable
information which will needs to be protected and shared in a secure manner which complies with data privacy regulations. Common tools such as internal network drives, e-mail and even collaboration or document storage platforms such as Teams and SharePoint are not robust enough or suited to the task of managing and collaborating the very large volumes of document where features such as security, information rights management, data privacy compliance, redaction, audit trails and reporting are important.

This why you need the right tools like a sophisticated and secure virtual data room like DocullyVDR to ensure that the post-merger integration happens swiftly, thoroughly and efficiently. The data deal room should allow all stakeholders to safely share and manage important corporate data, without worrying about high-value content being lost or hacked. Moreover it should also enable you to manage multiple deals and post-merger integrations simultaneously, automate tasks and organize content to keep momentum going through all phases of the deal lifecycle.

DocullyVDR, the best virtual data room provider lets you drive more value for your M&A deal.

It offers a secure data storage and file sharing platform for internal and external collaboration. Our secure virtual data room makes deal management easy, from letter of intent to completion of the post-merger integration process.

Advantages of managing post-merger integration with DocullyVDR.

When you choose the best virtual data room provider, DocullyVDR for facilitating post-merger activity, you can actually:

• Accelerate the post-merger process: By establishing deal rooms for pre-close collaboration, and stage content, users and permissions ahead of time so post-merger teams can increase deal value by hitting the ground from day one itself.
• Simplify post-merger communications: Transfer documents easily from virtual data rooms to integration teams, and keep executive teams, stakeholders and regulators on the same page. You maintain complete control over each document, and set permissions for viewing, editing, downloading and printing. You also have the ability to instantly revoke file access, even if documents have been downloaded to personal computers or devices.
• Streamline collaboration: Manage all deal-related information in a central repository; enable anytime, anywhere, any device access; handle external inquiries with ease; track post-merger integration progress and report it to key stakeholders; and deliver detailed compliance data to meet regulatory requirements.