As mergers and acquisitions (M&As) increase around the world cybersecurity is more critical than ever. The stakes are very high in the event that confidential information is not knowingly divulged to bad actors during M&A due diligence, or accidentally disclosed during post-M&A integration or operations.
The good news is that the appropriate software can aid M&A CISOs ensure the accuracy of data, maintain compliance, and protect against the risks associated with M&A activities. The right data room solution integrates digital tools into one integrated platform that permits easy uploads of files, single sign-on, and a extensive auditing. This assists compliance teams to maintain control by keeping out any accidental disclosure.
Virtual data rooms can be an ideal tool for managing the M&A processes, from due diligence to post-M&A operations and integration. VDRs make it easy for authorized users to review and comment on sensitive documents without fear of leaks. They also allow users to create activity reports that show who has accessed or read specific pages of documents. These reports can deter bad actors from leaking data since they can be traced back to individual users. They also allow M&A CISOs assess the level of interest from potential investors or buyers.
Many M&A deals are built around the value of intellectual property. Life science companies, for instance, utilize virtual data rooms to manage everything from clinical trial results and HIPAA compliance to licensing IP as well as storage of patient records. It is not unusual for companies to review and supply large volumes of documents in M&A due-diligence. This can be time consuming and labor intensive for both the company that is acquired and the acquirer. A VDR allows you to share all this information securely and efficiently.
Regardless of the industry, M&A can be a complex business process that may be a significant security risk. During the integration and operations phases of the M&A cycle the M&A team must be aware of the potential threats of cybercriminals as well as competitors. The risks could include malware, unauthorised access to systems and networks, sabotage https://datarooms.in/due-diligence-data-rooms/ and other disruptions that can undermine M&A’s value proposition.
M&A can be a rewarding and profitable business experience if you choose the appropriate cybersecurity solutions. M&A gives businesses an chance to expand their global footprint and create value. To ensure that this value isn’t compromised, a focused cybersecurity strategy should be in place prior to when transactions begin. Download our free guide on cybersecurity for M&A from the M&A Playbook to learn more. Todd Thiemann, director of marketing for products at ReliaQuest GreyMatter is a Security Operations Platform that helps to make cybersecurity possible through M&A. It delivers visibility, cuts through the complex security stacks that are heterogeneous, and manages uncertainty and risk to help your business reach its goals.