As companies try to navigate through the challenges of a VUCA world, the importance of M&A and restructuring as vehicles for organisational repositioning has only increased. While traditional industries see M&A as means of individual survival and growth in slow-growth, but highly competitive environment, M&A is pursued with equal vigour in the vibrant technology industries as means to access latest and emerging technologies. And M&A is accepted as almost inevitable as companies pursue global scale and scope. The global scale and sweep of M&A is humongous - the value of announced M&A during 2015 hit an all-time record of USD 4.75 trillion, an amount higher than the national 2015 GDPs of all but two countries, the US and China!
Despite its immense popularity, M&A carry huge execution risks - attested by the fact that the success rate in M&A is just about 20%-30%. Yet there are organisations that have developed a habit of acquiring successfully and creating value consistently. Indian companies like elsewhere have demonstrated mixed results. While a company suchas Sun Pharma has grown to become a USD 30b-value company primarily through decades-long effective M&A strategies, dozens of Indian companies have also come to grief from ill-advised cross-border deals accentuated by high-risk financing thereof.
In the Mergers, Acquisitions, and Restructuring (MA&R) programme, the participants will be exposed to the perspectives and skillsets required for effective management of the MAR functions. Through a series of real-life and exciting case studies, the participants will get a “handle” on the entire MA&R value chain from planning through deal execution to the post-transaction phases. The programme will thus deal with the key issuesviz.the strategic rationale and business case, key value drivers, target identification and evaluation in terms of strategic, financial and cultural fits, regulatory and deal structuringissues.
The learning experience will be intense with the pedagogy consisting of, case analysis, faculty-led and peer-to-peer discussions and group work. The participants will explore a wide range of acquisition and restructuring situations to develop an understanding of value creation through mergers, acquisitions, and restructuring.
The programme will discuss the entire gamut of MAR themes and sub-themes and topics as follows:
“What ”? The different types of corporate restructuring transactions viz . , business combination transactions such as mergers and acquisitions and break-up transactions such as demergers or spin-offs and divestitures. Takeaways also include the various players in the M&A field and their roles.
“Why”? The motives for and drivers of M&A and restructuring activities such as value creation, preservation and sustenance through various strategic initiatives. These include product and/ or market expansion and/ or diversification, capturing of synergies etc.
“When”? At what stage in an industry's or organisation's life cycle would the pursuit of these specific strategies be appropriate?
“How”? The key elements in the M&A value chain viz., pre-acquisition planning, deal execution including valuation and financing, post-acquisition integration and management and regulatory aspects and deal structuring.
“How Not”? What can go wrong in M&A and how to avoid/ mitigate the common pitfalls
This programme is designed for top management personnel responsible for charting company growth strategies and senior executives with identified role in strategy formulation and implementation, business development, and finance. The target participants may have business unit, corporate or group level responsibilities.