As mergers and acquisitions (M&As) increase across the globe cybersecurity is more important than ever. If confidential information is accidentally disclosed during M&A due-diligence, or during post-M&A processes, the risks are high.
The good news is that the right software can aid M&A CISOs maintain the integrity of data, ensure the compliance of their organization, and help protect against the risks associated with M&A activities. This includes the right data room software that combines various digital tools into a single integrated platform with easy uploads of files and single sign-on. It also offers comprehensive auditing and reporting that helps compliance teams maintain control and avoid accidental disclosure.
Virtual data rooms can be an excellent tool virtual data room for managing the M&A processes from due diligence to post-M&A activities and integration. VDRs make it easy for authorized users to review, share and comment on sensitive documents without fear of leaks. They also permit users to create activity reports that show who has read and accessed specific document pages. These reports can deter people who leak information from being caught, since they can be traced back to individuals. They also permit M&A CISOs to determine the level of interest from potential investors or buyers.
Many M&A deals are based on the value of intellectual property. Virtual data rooms are used by life science companies to handle everything, from clinical trials to HIPAA compliance, to licensing IP to keeping patient records. It is not uncommon for companies to be asked to review and supply massive volumes of documents as part of M&A due-diligence. This can be a very labor-intensive and time-consuming task for both the company that is purchased and the buyer. A VDR can be used to transfer all of this information via a secure platform.
Whatever the field, M&A can be a complex business procedure that can present significant security risks. In the integration and operation phases of the M&A cycle, the M&A team needs to be aware of potential threats that cybercriminals and rivals pose. These risks could include malware, unauthorized access to systems and networks, sabotage, and other kinds of disruptions that could undermine the M&A value proposition.
M&A can turn into an enjoyable and profitable business experience with the appropriate cybersecurity solutions. M&A offers businesses a great opportunity to expand their global footprint and create value. Before any transaction can be initiated the process, an M&A focused cybersecurity strategy should be implemented to ensure the value of this deal is not compromised. To learn more about this, download our free guide Cybersecurity for M&A: From the M&A Playbook. Todd Thiemann, director of product marketing at ReliaQuest GreyMatter is a Security Operations Platform which helps to make cybersecurity possible through M&A. It provides visibility, cuts through the complexity heterogeneous security stacks, and helps manage risk and uncertainty to help your company achieve its goals.
