It is our mission to support clients in maximising deal value by executing successful deals, by post-deal value creation, integrations, separations and restructurings, and by operationalising alliances and partnerships.
Research has shown that 69% of acquisitions fail to deliver long-term shareholder value. Remarkably, this level of failure has remained consistent over the last 20 years. It is not just the acquirers who are failing to deliver full value from a transaction – a seller will often lose value due to poor planning and packaging of the actual asset or business being sold.
Undertaking merger and acquisition (M&A) activity, whilst trying to create value, has become more complex in recent years. Across many sectors, the search for a successful M&A deal has become an attractive growth driver and hence more competitive. Businesses are now seeking innovation through technologies and entering markets that bring strategic advantage and scale. In parallel, businesses are looking at their portfolio of assets more strategically to determine where they should focus their capital and talent. This is resulting in an increase in non-core divestments to attract both private equity and corporate acquirers.
Recent national and global events have disrupted well-established practices for businesses considering M&A. Currently, the key issues are supply chain security, access to stable markets and talent, technology disruption and digitalisation, industry divergence, rising inflation and changing regulatory environments such as the upcoming ESG legislation. In such an environment, many traditional operating models may no longer be suitable.
Executing a sustainable deal
Despite these challenges, M&A strategy is a vital route to value creation, if properly undertaken. KPMG’s Deal Execution team can support you in navigating towards a successful and sustainable deal. We will not stop at deal signing but will support you throughout the lifecycle of the transaction and even beyond where necessary. Deal Execution combines extensive experience with deep functional knowledge, and can work at the high level of speed which is inherent to the deal process, and is therefore a one-stop shop for actually realising value from your deal.
Last but not least, our work is not limited to making flashy presentations. We work back-to-back and shoulder-to-shoulder with you to ensure real, tangible results.
