Definition
Integration is the post-close work of combining the target into the acquirer. While not a tender-offer mechanic per se, integration planning typically begins long before tender expiration and is a core part of any deal’s success.
Workstreams
- Operations — process consolidation, supply chain, real estate
- Systems — IT migration, ERP consolidation, cybersecurity
- People — org design, retention, severance, culture integration
- Customers / commercial — account assignment, brand decisions, contract assignment
- Financial — chart of accounts, reporting, treasury
Why it matters
Most deals that fail to deliver expected synergies fail in integration, not in deal selection or pricing. Studies repeatedly show 50%+ of M&A transactions destroy value, often because integration was under-resourced or poorly executed.
Common pitfalls
- Underestimating culture clash
- Over-optimistic revenue synergy assumptions
- Loss of key talent in the integration window
- Customer attrition from disruption