ACQUISITIONS
Almost all research over the last 20 years has concluded that somewhere
between 50% to 85% of acquisitions fail in the eyes of the acquirer! Three
main reasons have emerged out of the research:
1.Lack of post acquisition planning
2.Over priced bids
3.Lack of post deal review and lessons learned session
Strategic business advisor, a Scot and masters athlete, Smith has covered a lot
of ground in his nearly three decades in global business. Originally trained
as an accountant in Glasgow, he has logged many miles as a finance director,
a venture capitalist, an investment banker and successful CEO of a US based software
group. He has completed over 40 acquisition, disposal or finance transactions
many cross border.
He has developed an operational blueprint for executing and integrating successful
acquisitions, The Acquisitions Approvals Process. Implementing this process changes
the odds in your favor of closing deals. It answers the flaws in most acquisition
strategies as highlighted by the research. It builds a system for integrating
acquisitions and maximizing your investment. It ensures that the acquisition
team is consistent, professional, courteous and effective.
Our Premise
1.The Acquisitions Approvals Model changes the odds back in favor of acquirers.
2.A robust strategy is the key to great acquisitions. An acquisition is only one type of method to execute the strategy. If the strategy is flawed, the acquisition is flawed.
3.The valuation of target companies is dominated by the following psychology: Vendors aspire to price, buyers perceive value. Each valuation is very personal to the buyer and may or may not equate to the vendor’s aspiration and expectation how much they are worth!
4.Due diligence needs to be comprehensive, exclusive and accurate. Post acquisition plans should be constantly reviewed for realism especially as the facts emerge from the due diligence exercises.
5.Post acquisition reviews are vital to ensure acquirers learn from their mistakes.
What We Do
The Portfolio Partnership works with senior management to integrate acquisitions into a company’s toolset. An acquisition is only one type of method to execute the strategy. If the strategy is flawed, the acquisition is flawed. Therefore the six phases of our model start with strategy and are in strict sequential order. Our services can cover all six phases or can be used to assist on one aspect.The Acquisition Approvals Model has six key phases:
- Strategic Development
- Identify Targets
- Assessment of Target & Price
- Negotiate Price & Structure
- Legal Documentation
- Post Completion

