CAREER EDGE

MERGERS AND
ACQUISITIONS
FRAMEWORK
CAREER EDGE

OBJECTIVE
1 2

Value of Value of
control synergy

Keys points to be noted:

Analyze the client’s company: Understand the reasons for M&A - growth
opportunities, diversification, industry alignment, customer demographics,
etc.

Analyze the target’s company: Evaluate market share, growth trajectory,

the possibility of synergies, valuation, etc.

Identify Synergies from the transaction: Financial benefits like anticipated

cost savings, and growth opportunities which will be the outcome of the
combination of two businesses.
CAREER EDGE

Analyze the cultural, strategic & organizational fit for the two entities

Analyze the risk involved with the M&A using the PESTEL framework

Opportunity cost: The cost involved if competition, instead of your

organization, goes through with the M&A in question.
CAREER EDGE

SYNERGY
FRAMEWORK

OPERATIONAL FINANCIAL

Free cash flow Tax saving

Long term growth Bankruptcy cost
Abnormal growth Decreased agency
RA/ systematic cost
risk Less information
Abnormal growth symmetry
time period
CAREER EDGE

ANALYSIS OF FIT
Are the cultures of the merging entities coherent? for
Cultural Fit e.g. both are entrepreneurial orgs
Are the cultures complementary? For e.g. an
entrepreneurial design org and a highly organized
sales org
Do we expect significant cultural clashes on merger?
For instance, formal vs. informal

Are the long-term strategies of the merging firms in

tune?
Strategic Fit Will the merged firm evolve a new long-term
strategy?
Costs associated with percolating new strategies
through the merged organization

Organizational Degree of similarity in organizational structures -

Matrix, functional, divisional etc.
Fit Management overlap and talent
CONSULTING COHORT
Mentors from

5 weeks, 6 mentors, and 12+ hours of live course

content
Hands on, Live Consulting project

Free CV templates and interview preparation

resources
Referrals & Placement Assistance from our mentors

Exclusive networking opportunity with top-tier

consultants
Regular Job Updates from consulting firms

SIGN UP!