As mergers and acquisitions (M&As) increase around the world, cybersecurity is more important than ever. If confidential information is disclosed during M&A due-diligence or in post-M&A processes, the risks are high.
The good news is that the right software can assist M&A CISOs in ensuring the integrity of their data, maintaining compliance, and protecting against the risks associated M&A activities. This includes a data room solution that consolidates various digital tools into a single platform that is easy to use with file uploads and single sign-on, and offers comprehensive auditing and reporting that aids compliance teams in maintaining control and prevent accidental disclosure.
Virtual data rooms are a great method of managing the M&A process from https://datarooms.in/ due diligence to post-M&A integration and operations. VDRs permit users with access to read, share, and comment on sensitive documents, without risk of leakage. They also provide the ability to create activity reports that show who has accessed and read specific document pages. These reports can deter bad actors from leaking data since they can be traced back to the individual user. These reports also help M&A CISOs assess the level interest from potential investors or buyers.
Many M&A transactions are dependent on intellectual property. Life science companies, for example rely on virtual data rooms to manage everything from clinical trial results and HIPAA compliance to licensing IP and storage of patient files. It is not unusual for companies to be asked to review and provide large volumes of documents in M&A due-diligence. This can be a very labor-intensive and time-consuming process for both the company that is acquired and the acquirer. A VDR can be used to transfer all this data via an secure platform.
Whatever the industry, M&A can be a complicated business process that can be a significant security risk. The M&A team needs to be aware of the potential risk from competitors, cybercriminals and disgruntled employees during the operational and integration phases of the M&A lifecycle. These risks include malware, unauthorized access to systems and networks, sabotage, and other disruptions that can make M&A less valuable.
With the right M&A-focused cybersecurity solutions in place M&A can be a lucrative and rewarding business experience. M&A is a huge chance for businesses to increase value and expand their international reach. To ensure that this value is not compromised, a M&A-focused cybersecurity strategy should be in place before any transactions are initiated. Download our free guide 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 multi-layered security stacks and manages uncertainty and risk to help your business reach its goals.