Risk Technology M&A – Marriages of Inconvenience

As vendors seek to keep up with the demand for faster, more innovative and integrated risk technology they are increasingly joining forces via mergers and acquisitions (M&A). Ten major M&A transactions in the risk technology sector have already taken place this year, with others in the pipeline. Chartis believes that more will follow in 2012.

But the joining together of two separately successful vendors is not always a marriage made in heaven. They can take their eye off the ball, spending so much time and energy on the merger activity that they neglect to support the products that brought them success.

A badly managed M&A transaction can result in dissatisfied customers and disgruntled key staff, both of whom can easily decide to walk away. The following article looks at real life examples of what can go wrong and some of the pitfalls to be avoided.