As mergers and acquisitions (M&As) increase all over the world cybersecurity is more critical 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 aid M&A CISOs ensure the integrity of their data, ensure compliance, and safeguard against the dangers associated with M&A activities. The best data room solution integrates digital tools into one integrated platform that enables simple uploads of files, a single sign-on and thorough auditing. This assists compliance teams in maintaining control by stopping accidental disclosure.
Virtual data rooms can be a wonderful way to manage the M&A process from due diligence to post-M&A integration and operations. VDRs make it easy for authorized users to read, share and comment on sensitive documents without the risk of leaks. They also permit users to create activity reports that show who has accessed and read specific document pages. These reports can stop criminals from leaking information since they can be traced back to individual users. They can also help M&A CISOs determine the level of interest from potential investors or buyers.
Many M&A transactions are founded on intellectual property. Life science companies, for instance use virtual data rooms to manage everything from clinical trial outcomes and HIPAA compliance to licensing IP as well as storage of patient files. During M&A due diligence, it’s common for companies to have to provide and review large volumes of documents. This can be a labor-intensive and time-consuming task for both the business being acquired and the buyer. A VDR allows you to share this information safely and efficiently.
No matter what industry, M&A can be a complex business process that may present significant security risks. During the integration and operations phases of the M&A cycle The M&A team must understand the potential risks that cybercriminals and rivals pose. These risks may include malware, unauthorized access to networks and systems, sabotage, and other kinds of disruptions that could harm the M&A value proposition.
With the right cybersecurity solutions in place, M&A can be a lucrative and rewarding business experience. M&A can be a fantastic chance for businesses to increase value and expand their global reach. To ensure that this value isn’t compromised, a focused cybersecurity strategy must be in place prior to any transactions are initiated. Download our free guide on cybersecurity for M&A – Part of the M&A Playbook to learn more. Todd Thiemann is director of product marketing at ReliaQuest GreyMatter, a Security Operations Platform that allows cybersecurity to be achieved through M&A and provides visibility, cutting through the complexity of heterogeneous security stacks, and reducing risk and uncertainty so that your business can meet its goals.