The biggest oversight made during due diligence is a mismatch in work cultures, according to a West Monroe Partners and Mergermarket report.
Mergermarket surveyed 100 senior corporate and private equity executives from U.S. firms that had completed at least one healthcare deal in the past two years.
Here are 11 statistics:
Biggest oversights made during due diligence
1. Mismatch in work cultures: 36 percent
2. Outdated IT infrastructure: 26 percent
3. Ill-equipped management team: 18 percent
4. Cybersecurity vulnerabilities or undisclosed breaches: 10 percent
5. Financial misses: 10 percent
Biggest challenge in the integration/post-close phase
6. Allocating investment effectively: 24 percent
7. Making effective cost cuts: 22 percent
8. Culture clash with the acquired company's personnel: 21 percent
9. Capturing identified synergies from diligence: 14 percent
10. Combining IT infrastructures: 10 percent
11. Retaining key personnel: 9 percent