How companies can improve value through M&A

Achieving value in M&A transactions

It is logical to assume—rule of thumb or not—that a portion of M&A transactions may not add value. In response to recurring queries from clients, Deloitte undertook a research effort to help determine how to beat the odds and improve value through M&A. As part of its study, Deloitte analyzed the interplay among the four variables that were found to be statistically significant to the odds of addressing company’s requirements in M&A:

• Acquiring at the correct time
• Applying accumulated experience
• Pursuing deals of an appropriate size relative to the acquirer
• Funding transactions with equity or a mix of equity and cash
  

The study concludes with suggestions to address these recurring questions raised by Deloitte Consumer and Industrial Products (C&IP) clients and their boards.​