Managing M&A Risks

The video discusses the impact of COVID-19 on M&A cybersecurity, highlighting challenges and changes in due diligence processes. Experts share insights on building a cybersecurity playbook, legal considerations, and managing supply chain risks. The session also covers cross-border transactions and audience Q&A.

What was a major impact of the pandemic on M&A processes?

• Increased focus on physical security

• Shift to remote work and its cybersecurity implications

• More reliance on in-person meetings

• Decrease in M&A activities

What is a significant change in cybersecurity due diligence post-pandemic?

• Focus on physical security measures

• Greater engagement of third-party experts

• Less involvement of third parties

• Increased use of internal teams

Why is it crucial for CSOs to have a seat at the table during M&A deals?

• To ensure they can negotiate the deal price

• To align cybersecurity with business priorities

• To oversee marketing strategies

• To manage the company's finances

What is a key component of a strong cybersecurity playbook for acquirers?

• Include people, process, and technology

• Ignore third-party risks

• Focus solely on technology

• Rely only on internal audits

What is a common challenge in cybersecurity during M&A processes?

• Overabundance of cybersecurity resources

• Vendor and supply chain risks

• Excessive time for due diligence

• Lack of interest from stakeholders

How can companies protect themselves legally from vendor risks?

• By not conducting due diligence

• By avoiding vendor relationships

• Through reps and warranties

• By ignoring vendor contracts

What is a critical step in post-acquisition integration?

• Focusing only on financial integration

• Ignoring the acquired company's IT infrastructure

• Maintaining separate cybersecurity standards

• Ensuring visibility into the acquired company's environment

Why is understanding global cyber regulations important in cross-border M&A?

• To focus only on domestic regulations

• To avoid cultural integration

• To reduce the cost of the deal

• To ensure compliance with local laws

What is a common approach companies take regarding global cyber regulations?

• Relying solely on local teams

• Focusing only on the EU regulations

• Applying a global approach with a highest common denominator

• Ignoring them completely

What is a potential consequence of not factoring in due diligence costs?

• Increased deal success

• Reduced need for integration

• Costly mistakes and potential deal failure

• Improved cybersecurity measures