Post merger integration: Insights for private equity firms

In partnership with Privcap, this three part video series offers insights and intel on post merger integrations. Kevin Masse of TA Associates, Tom Anderson of The Riverside Company and Gavin Backos of RSM share their first-hand experience. 

Merger and acquisition muscle

In part one of the thought leadership series “Post-Merger Integration,” learn from three experts about how to plan and communicate around the strategic vision of add-ons. 

Private equity firms that add value through add-ons are good at helping their portfolio companies build ‘M&A muscle,’ by helping their management teams to step up to the complex tasks of integrating two companies into a synergistic platform. 

Deal with technology immediately

These days IT is vital to just about every company, and as such, it is also a vital concern in an integration. Nearly every business function comes with technology challenge. After all, IT does not just live in the IT department—it touches every single part of the modern enterprise.

In the course of an integration, the IT team can quickly be overwhelmed. “Every other division has a short list of projects for day one, day 30, day 100, and beyond, but IT has a list of those for every single functional area for every single day,” says Gavin Backos, RSM Principal.

How to merge two cultures

There are those variables in an integration that are definable and quantifiable, and then there’s culture. Sometimes the hardest part about doing an add-on is combining employees and organizational personalities from companies with very different corporate cultures; it’s just as hard to know when you’ve done it well—or not.

Three deal experts discuss the importance of communicating a vision for success with a newly merged company and how to assess something as qualitative as culture.