Acquisition Search

There is a well-established ecosystem associated with mergers and acquisitions activity from advisors and accountants to banks and boutiques to financiers and funders. This activity is focused around the financial endeavour of acquiring new companies to generate increased value for shareholders. This activity is carried out by financially competent and astute professionals and is a successful part of any nation’s developing economy.

At Strategic Allies Ltd (SAL) we believe there is a critical piece of the acquisition and merger ecosystem that is under-represented and it is one of the main obstacles for successful acquisitions by medium sized companies i.e. the front-end acquisition search & selection element. SAL’s acquisition search service uses a practical methodology to confidentially identify and initially liaise with synergistic potential acquisitions/partners at the outset of the M&A process.

Consider this question carefully. Would you trust your advanced manufacturing process to an accountant or your future innovation programme to a banker? We believe not. So why do you ask your accountants and bankers to find you a synergistic partner or target company with whom to grow your business? Yes, we understand they are trusted partners and best to manage any ensuing deal process but not the initial search and compatibility matching at the critical first stage of the journey.  Almost all M&A activity is focused around financial attractiveness and compatibility and so, without due attention within the process to current and future technical and operational congruence there’s no wonder that in at least half of all cases, after the deal closes, acquisitions sour. There are dozens of studies and papers, and estimates of how many M&A deals fail to meet financial expectations running from 50 percent to as high as 90 percent.

SAL believes that its the ‘post acquisition integration’ stage that is an equally critical factor in delivering a successful acquisition strategy and therefore it is important for this reason that all aspects of ‘total appropriateness’ or fit need to be considered at the outset. There is a better way to deal with this unmitigated element of risk.

Because these considerations of strategic fit, integration, compatible culture and customer focus are some of the most important points to get right within the acquisition process, these considerations should be paramount in the initial stages i.e. when starting to search for an acquisition or strategic partner in the first place.

SAL has been confidentially identifying and opening negotiations with strategic partners for its clients for over ten years. Mainly in the manufacturing area, but also active in other sectors too, SAL understands the subtleties of the “right” potential partner and is able to connect you, via its network of international associates, only to the ones that have excellent potential thus minimising the considerable work you will otherwise have to undertake yourselves, internally filtering through inappropriate candidates.

SAL uses its international personal presence and technical expertise to search for partners from a technical and operational perspective as well, rather than from just a financial one. By adopting this approach we are able to identify and filter potential companies wherever they may be located worldwide and present a small number of high potential introductions to you that will meet more closely ALL of your current and future requirements.

We have a summary pdf that outlines our approach here.