Twelve years of data shows that mergers and acquisitions that apply or enhance capabilities produce superior returns. This is the main lesson that emerges from Strategy&’s most recent study on the role of capabilities in M&A success. When we examined 540 major global deals in nine industries announced between 2001 and 2012, we found that deals that leveraged the buyer’s key capabilities or helped it acquire new ones produced significantly better results, on average, than local stock market indexes in the two years following the deal. And they produced better results than deals done with other rationales in mind …
Fouad Bendris’s insight:
Focusing on targets that leverage one’s key capabilities provides the greatest chance of M&A success !
Source:: Strategy & Governance