Data loss jeopardising and delaying UK M&A deals
Almost three quarters (71%) of UK executives involved in mergers and acquisitions (M&A) admitted that their deals have been delayed due to a loss of critical data. This includes the temporary or permanent loss of information located in documents, emails, devices and IT systems.
The industry research, carried out by ansarada, a dedicated virtual data room provider for M&A deals, found that these data losses accounted for deals being delayed by an average of 12 days.
The research also found that more than one in 10 dealmakers (11%) were not certain that their data was secure while trying to close deals during 2015.
ansarada’s research, which asked 520 bankers, lawyers, consultants and accountants specialising in M&A, highlighted the barriers faced by the industry when it comes to closing deals efficiently and on time.
With the most recent figures (2014) suggesting that 339 deals worth £256bn collapsed – the highest number since 2008 – ansarada is highlighting how the industry can reduce delays in M&A activity.
Considering the sensitive nature of M&A deals, it’s alarming to think that ‘data-loss’ remains such a big issue for the industry, Stephen Dearing, managing director of EMEA, ansarada, said:
“With recent advancements in technology and security policies, dealmakers should be in complete control of the information they need to close a deal efficiently and to a tight deadline.”
