As mergers and acquisitions (M&As) increase across the globe cybersecurity is more critical than ever before. If confidential information is disclosed during M&A due diligence or in post-M&A activities, the stakes are high.
The good news is that the right software can assist M&A CISOs in ensuring the integrity of their data, maintaining compliance, and protecting against the risks associated M&A activities. The ideal data room software brings together digital tools into one integrated platform that allows for easy file uploads, single sign-on and comprehensive auditing. This helps compliance teams keep control by preventing accidental disclosure.
Virtual data rooms can be a wonderful method of managing the M&A process, from due diligence through post-M&A integration and operations. VDRs make it simple for authorized users to review and share sensitive documents with no risk of leaks. They also allow users to create activity reports that reveal who has read or accessed specific pages https://datarooms.in/ of documents. These reports can deter people who are leaking data because they can trace them back to individual users. These reports also allow M&A CISOs to evaluate the level of interest from potential investors or buyers.
Many M&A transactions are built around intellectual property. Life science companies, for instance, depend on virtual data rooms to handle everything from the results of clinical trials and HIPAA compliance to licensing IP and storage of patient files. When conducting M&A due diligence, it’s common for companies to to furnish and review volumes of documents. This can be a very lengthy and labor-intensive process for both the company being purchased and the acquirer. A VDR lets you share this information safely and efficiently.
M&A is a complex business process that can pose significant security risks, irrespective of the industry. The M&A team needs to understand the potential threat posed by competitors, cybercriminals, and angry employees during the operational and integration phases of the M&A lifecycle. These risks could include malware, unauthorized access to networks and systems as well as sabotage and other kinds of disruptions that could undermine the M&A value proposition.
With the right M&A-focused cybersecurity solutions in place M&A can be a profitable and rewarding business experience. M&A offers businesses a great chance to expand their global footprint and enhance their value. Before any transaction can begin the process, an M&A focused cybersecurity strategy must be implemented to ensure the value of this deal is not diminished. To find out more read our free guide, Cybersecurity for M&A: From the M&A Playbook. Todd Thiemann, director of marketing for products at ReliaQuest GreyMatter is a Security Operations Platform that can make cybersecurity possible through M&A. It gives transparency, cuts through the complex security stacks that are heterogeneous, and manages risk and uncertainty to help your company achieve its goals.