In 2016, during its merger with Verizon, Yahoo reported improperly resolved previous cyber incidents, which resulted in a $350 million reduction in the acquisition price, tarnished its reputation, and led to legal action. Two years later, shortly after their merger, Marriott International and Starwood Hotels and Resorts Worldwide Inc. reported a prior cyberattack that they estimated would result in over $1 billion in lost revenue, legal fees, and remediation costs. These repercussions were swift and significant, plundering the original value and valuation the principals sought at the outset of the deals.
These two episodes are among the case studies in the book and are emblematic of the elevated risks cyber incidents and threats pose in M&A. The fallout from cybersecurity incidents undermines transactions, damages reputation, erodes value and triggers legal liabilities. To their chagrin, many companies realize until it is too late that even if they have a functioning corporate security program, it is not and was never designed to mitigate the unique risks and challenges of the mergers and acquisitions process.
In Mergers & Acquisitions Cybersecurity, Lawrence introduces a structured cybersecurity framework that outlines specific strategies to enhance security and value in M&A deals. This book is an indispensable resource for owners, investors, attorneys, and anyone participating in high-value M&A transactions. Whether preparing for a merger, sale or due diligence, this book will prove invaluable for minimizing the risk of cyber threats and optimizing the economic and strategic value of transactions of all sizes.
These two episodes are among the case studies in the book and are emblematic of the elevated risks cyber incidents and threats pose in M&A. The fallout from cybersecurity incidents undermines transactions, damages reputation, erodes value and triggers legal liabilities. To their chagrin, many companies realize until it is too late that even if they have a functioning corporate security program, it is not and was never designed to mitigate the unique risks and challenges of the mergers and acquisitions process.
In Mergers & Acquisitions Cybersecurity, Lawrence introduces a structured cybersecurity framework that outlines specific strategies to enhance security and value in M&A deals. This book is an indispensable resource for owners, investors, attorneys, and anyone participating in high-value M&A transactions. Whether preparing for a merger, sale or due diligence, this book will prove invaluable for minimizing the risk of cyber threats and optimizing the economic and strategic value of transactions of all sizes.
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