M&A and IAIDO
Oded Baharav
Legal & commercial continuous comprehensive approach, offering innovative solutions in a multi variable environment.
M&A is quite like IAIDO - the Ancient Japanese Sword Art
Throughout modern business history, Mergers and Acquisitions became one of the well-known and used instrument for Corporate performance enhancement; but not only. Rarely it uses as a defence mechanism against counter business activities.
IAIDO - the Ancient Japanese Sword Art – and the sword it uses, proved to be a formidable tool, it may prove to be blunt or surgically accurate and precise, all depends on the Master’s experience and performance; better still, the prelude to the battle plan and strategies will dictate the choice of weapon and tactics.
M&A requires a high level of potency audacity and proficiency. You must be aware of the need to revive or enrich your performance and value and be familiar with your business from production through the management to sales and distribution. You need to have a clear vision as for the future of your business, and most definitely, you need to acknowledge your weaknesses.
Thereafter it is advisable to assess the market: identify your potential partners, targets and competitors; sort them in accordance with their strength, value and prospect synergic contribution to yours. For instance, the geographic edges, regulatory advantages, or production and capital benefits to your current or impending activities.
At this early stage, the sword is still sleeping in its sheath. You do not want or need to reveal your intentions or mark yourself as a potential target or player since by doing so the price tag might be higher.
Only after gathering all the data, you may spring into action. Quite like the IAIDO sword, which can half butterfly wings or may administer much serious damage, so your actions need to be accurate and distinct – cutting through inter alia various regulatory hurdles, financial intricacies and, both employees and management restraints, coping with the parties personality ego and ethics.
And like the Japanese master, you ought to recuperate quickly and to assume the management of the consolidated post-M&A endeavour, ready and willing for the following.