CHAPTER 12

Postclosing Challenges

The closing of a merger or acquisition usually leads to a great sigh of relief from the buyer, the seller, and their respective advisors. Everyone has worked hard to ensure that the process went smoothly and that all parties are happy with the end result. But the term closing can be misleading in that it suggests a sense of finality, when in truth, particularly for the buyer and the integration team, the hard work has just begun.

Often one of the greatest challenges for the buyer is the postclosing integration of the two companies. The integration of human resources, the corporate cultures, the operating and management information systems, the accounting methods and financial practices, and related matters is ...

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