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Mergers & Acquisitions Mergers,
Acquisitions and Divestitures are complex processes, requiring an understanding of valuation, strategic fit, company cultures,
tactical integration, capital market financing, due diligence and deal structure considerations. In
fact, over 50% of all mergers and acquisitions fail. How can a company help ensure an improved likelihood of a successful
transaction?
Finding the right opportunity is a critical component of any acquisition. In most cases, the "perfect"
deal does not exist, and it becomes incumbent on the acquirer to understand the limitations of any transaction and put the
necessary protections in place to help assure future success. Proper due diligence becomes a key component of the overall
assessment process, and is a foundation for supporting any value proposition.
The determination of overall value
is impacted by a number of factors beyond historical and pro forma financials, including potential internal synergies that
may be generated. Cultural integration issues can either support the realization of these synergies or derail them, and understanding
likely cultural impacts is critical. This is particularly valid when the seller is intending to remain with the company post-close
and maintains a key role in the larger organization.
In many cases, the price of an acquisition is less important
than the deal structure considerations. Who is financing the opportunity, and is it being financed via some form of debt (including
seller notes) or equity? If the seller is staying with the organization, do they have performance incentives that are consistent
with the overall goals of the larger organization? Is the transaction an asset purchase? Tax ramifications are important as
well.
Tactical integration is often a less considered, but equally critical consideration of any transaction. Are
operating systems being integrated onto a single platform? Are "best practices" being instituted? Do existing platforms
possess the necessary flexibility to incorporate the numerous idiosyncrasies that are bound to exist in a merged environment?
An understanding of these issues and more leads to a significantly increased likelihood that a particular transaction
will be successful long term. We specialize in medical transactions.
Nursing home, hospital, hospice, home health, insurance companies, physician practices, medical billing companies, Infusion, DME
companies, pharmaceutical companies just to name a few. We work with medium to very large companies. Some
of these companies we have worked with in our consulting and recruitment divisions for many years. We have
your best interest in mind. If you are a Seller or if you are a Buyer we work hard to make sure the result is what
you expected. You know what is going on the whole process. Our goal is to work with integrity and
honesty, maintain communication with all involved and come out on the other side at closing - happy and smiling. Happy
Sellers and Buyers! That certainly is a winning combination. Remember your success is tied to our success! We
are a high performance company. The only Edge you have sometimes is the people you hire, so hire our Team and begin with one
of the Best and Become one of the Victorious! If you would like to speak to one of our professionals about us
helping you sell or if you are looking to buy we can definitely help; bhill@nhhcc.org or
sandersen@nhhcc.org or jhynes@nhhcc.org;
(904) 683-7564. Being in the Healthcare industry for 20 plus
years helps us understand your Healthcare Business Better than most. We understand the pricing modules and the value
of your business better than most. We also know who is looking for your type of business in the Healthcare Industry today! |
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