These are the questions that keep M&A industry onlookers in business. Select search scope, currently: articles+ all catalog, articles, website, & more in one search; catalog books, media & more in the Stanford Libraries' collections; articles+ journal articles & other e-resources A Better Convenience. Heres an example of a press release announcing an upcoming acquisition after both parties agreed on the terms. Start early and tailor. My Wholesaler Supply. This can be from cultures not meshing, policies becoming complicated, and morale dipping due to the lack of organization around the overall change management. Philips to acquire BioTelemetry, Inc. for USD 72.00 per share; implied enterprise value of USD 2.8 billion (approx. With this in mind, here are six tips for making effective acquisition announcements: Consider the audiences and create specific messaging One of the factors that makes acquisitions such a fascinating area of finance to study is that, while all transactions are relatable to some extent, no two deals are the same. A dynamic transaction from a merger and acquisition standpoint can be viewed as a disruptive change by families who share assets. BidFair's acquisition of Sotheby's for $3.7 billion. These multibillion dollar deals are the ones that grab the most headlines and more often than not, attract the attention of anti-monopoly regulators concerned that the transaction may lead the acquiring company to wield too much power in their industry. To avoid this, press releases are structured like an inverted pyramid, which puts the most important information at the top and the rest in order of its relevance. Charles Caleb Colton Our findings, in a forthcoming paper in the Academy of Management Journal, showed that a CEO whose firm issued more unrelated positive press releases around the time of an acquisition exercised. So the best investor presentations will have the new top management team and key reporting relationships in place when the deal is announced to avoid a leadership vacuum that can jeopardize the integration of the two companies. So, while focusing on this initial announcement is great, you will also want to have letters prepared for each of your specific stakeholders that will notify them of this change sooner rather than later. The best tip for anyone dealing with a major business announcement is to be as open and transparent as you possibly can, and to make the . This tends to be a preferred method for smaller companies looking to develop working relationships with media contacts. The blank-check company is the acquisition partner of Rumble, a Canadian video-sharing service that aspires to become. The facility is located at 27455 Louisiana 22 Ponchatoula, LA 70454. Deals KKR buys stake in communications firm FGS Global April 11, 2023. Andrew earned an MBA from Indiana University as well as a bachelor's degree from Ohio State University. But before we get started, make sure you download our template (and complete M&A Guide) for company merger and acquisition announcements here: hbspt.cta._relativeUrls=true;hbspt.cta.load(3044396, 'ec9ce763-9304-498f-b5a3-b872c5b8ddce', {"useNewLoader":"true","region":"na1"}); There are several things your organization(s) will want to consider before announcing a merger or acquisition. Announcement Day serves three important functions. Our new acquisition will broaden our business platform to deliver high-quality . OBJECT: WE ARE PLEASED TO ANNOUNCE OUR NEW ACQUISITION Dear [CONTACT NAME], [YOUR COMPANY NAME] is pleased to announce its recent acquisition of all the assets of [NEW ACQUISITION], a leading [TYPE OF BUSINESS] of [TYPE OF PRODUCTS/SERVICES]. As it deals with financial bodies, it also states the exact price tag of the acquisition right at the top. Many deals are doomed from the outset. We have established some of the different types of acquisitions, but what about the deals whose implicit intention is to reshape industries? Gold Mergers Are Getting Bigger. Your submission has been received! Leaders are setting a tone and expectations for how things will work before and after the deal closes. The announcement of a potential acquisition is a critical stage in a SPAC's life cycle. Make sure you have your legal counsel review the announcement! Once the sale is announced, stay on the public relations offensive. Under the terms of the agreement, Aegis Investigators will become part of Modern Defense, which will continue to - March 06, 2023 - Modern Defense, Benchmark International has successfully facilitated a transaction between Atlanta-based WeCareMD, P.C. WeCareMD is a multi-location medical practice specializing in primary care and adult medicine. New ownership can mean new opportunities, more work, and more potential. The Haul Store. If you stumble in clearly and effectively conveying the logic and economics of the deal on Announcement Day, you will give investors reasons to sell and the value lost from the stock-price drop is likely to only get worse. Listing broker Virtual Realty Partners and out of state cooperating broker Michael Morrison of Midcoast Properties, Inc. represented the seller in the sale of Chesdin Storage in Petersburg, VA. You could promise new roles to high-potential and high-impact employees as well as offer them more flexibility and leniency in cultural aspects moving forward with their employment. Greenleaf Self Storage - March 28, 2023 - Midcoast Properties, Inc. All rights reserved. . TimeXtender Announces Acquisition of BI Builders as Part of Long-Term Growth Strategy, FULFLLD Acquires Nillam Logistics to Expand White Glove Delivery Services for Brands, Benchmark International Facilitated the Transaction Between Appellation Construction Services and Whiteley Infrastructure Group, Benchmark International Successfully Facilitated the Transaction Between Integrity Arts & Technology, Inc. and Swagger Agency, Benchmark International Facilitated the Transaction Between Ultra Clean Systems Inc. and Getinge AB. Management also may decide to update investors with preliminary results ahead of investor days, investment conferences and major acquisitions. Morgan Stanleys acquisition of E*Trade could be considered a synergistic acquisition or an acquisition aimed at acquiring technology, as there is considerable overlap. But major M&A announcements that inject unnecessary uncertainty are even more disruptive, compounding the already unsettling effects of integration planning. The biggest consumer goods deal, like many of the biggest, was considered more a merger of equals than an acquisition per se. One of the most critical aspects of an acquisition is ensuring everyone is on the same page. This episode features special guest Austin Barrett, who joins the show to share some exciting news with the nationwide lending community. The decision is expected to . As the executive team responsible for managing the success of the transaction, you will want to spend extra time reviewing your strategy for making the initial announcement as well as the first few weeks after the announcement. What do they sell?). The company was founded by Carter Glatt and is based out of Florida. The acquisition of Android in 2005 for $50 million, enabling Google to enter the cellular phone market for the first time. As stated above, most mergers and acquisitions fail. Employees need clarity on facts and figures, to have opportunities to hear information first-hand and be able to ask questions and to feel part of the process. Acquisition Press Release Format {Acquiring Company name}, {the industry in which the company operates} has acquired {mention the target company and when the acquisition took place} announcement came in {Mention where it was announced, some information about the target company and why the acquisition took place}.According to sources {write official relevant information} and {target company . Here are the 5 common acquisition type examples: Salesforce is an example of a company that has made acquisitions a central part of its growth strategy. Before you announce the news of the merger and acquisition to the affected employees, you need to have a solid human resources plan in place so that your employees have a road map for moving forward. Probably the strongest evidence for the return of Merger Monday is the first week of June 2019. The stock of selling firms not only also rose on the day . Chesdin Storage in Petersburg, VA Sold by Virtual Realty Partners, Inc. and Out of State Cooperating Broker Midcoast Properties, Inc. Sold Greenleaf Self Storage, Seneca, SC, The Fruit Company Expands Tourism Operations with Acquisition of Mount Hood Railroad, Benchmark International Successfully Facilitated the Transaction Between Asolva, Inc. and Harris Computer Systems, Flex Technology Group Continues National Expansion with Advance Business Systems, Copper Tree, Inc. Completes Acquisition of Frank Lloyd Wright's Historic Price Tower Skyscraper, Municipal Emergency Services Acquires L & M Compressor, Regions Bank Acquisition of Sabal Capital Opens Up Hotel and Multifamily Financing Nationwide, Benchmark International Successfully Facilitated the Acquisition of the J.J. Elemer Corporation by Action Bag Company, Modern Defense Announces Merger with Aegis Investigators. 8. Thats why companies need to do a better job of managing Announcement Day. ; and does your presentation convincingly like post-merger integration plans to the economics of the transaction? Include imagery in the press release. The Fruit Company Expands Tourism Operations with Acquisition of Mount Hood Railroad The renowned gourmet gifting company is quickly becoming a top tourism destination in the Pacific Northwest.. Your organization is merging or acquiring for a reason, right? PE exits and fundraising - February 15, 2023 - BDA Partners Ltd, Benchmark International is pleased to announce the transaction of Nationwide Express to Jones Logistics. Also, make sure that your human resources team is prepared to handle all types of questions that could come up from the employees. MillerKnoll shares dove after the parent of Herman Miller issued disappointing guidance. With this acquisition, Paschal Air - March 30, 2023 - Paschal Air Plumbing Electric. For our book The Synergy Solution, we studied 1,267 deals across three major M&A waves between 19952018 and looked at how investors reacted to each deal around Announcement Day, and how those deals performed over the year following the deal relative to their industry peers. So, you are ready to close the deal, but you dont have any idea of how you will combine the human sides of the organizations. Imports is an importer, processor, and distributor of specialty Asian food with an emphasis on Korean and Japanese Goods. The more specific you can be about these, the better. Apr. The $73 billion deal enabled the two companies to react better to movements in crude prices, and is thought to have gotten the green light from anti monopolists in a bid to protect Americas energy interests. But companies need to remember this strategy can be costly and leaves issuers with little control over who the press release is sent. The Examples of the Successful Acquisition Announcement Press Release eBay In the beginning, eBay's press release does an amazing job of describing why this new hire should attract journalists' interest: Jamie Iannone was the chief operating officer of Walmart eCommerce. The facility was sold to a Publicly Traded REIT. It not only needs to sound good, but it needs to add something of value to the . For the majority of companies, those reactions come as a harsh surprise, with the acquirers stock dropping investors feel the pain immediately. The addition of Bulldog Benders products, which make the difficult task of bending large gauge power cable faster, safer, and easier for professional electrical installers." If the presentation goes awry, what investors hear is that management doesnt have a plan and they react accordingly. It looked to the Latin American and later, European markets, where cultural and economic links gave it an advantage. Source: Getty Images By Jacqueline LaPointe In the next section, we look at some of these issues in more detail. Super Supplies A&M. The facility was sold to a regional buyer. Intraday data delayed at least 15 minutes or per exchange requirements. Therere also many ways to produce a press release. Warehouse 1. Although nothing rivalled Xilinx's $35 billion acquisition of Advanced Micro Devices in 2020, last year did see Intuit buy Mailchimp for $12 billion and Square splash out a princely sum $29 . Uncertainty is one of the unavoidable facts of life in M&A especially for employees who are the ones who have to execute the plan. Subscriber Agreement & Terms of Use | The average market capitalization of sellers relative to their acquirer was 46% very significant deals for acquirers. Ultimately, the deal failed to close because of a lack of investor interest on both sides, and a storm brewing over issues related to vaping, where Altria has a large stake in one of the industry leaders. Manage all your deals & contacts in one place, Speed up and simplify due diligence process. Copper Tree, Inc. is pleased to announce, along with the support and trust of the entire Board of Directors and the Members of the Price Tower Arts Center (PTAC), their organization has acquired the historic Price Tower in Bartlesville, Oklahoma. 1. The facility located at 4275 Highway 17 Brunswick, GA 31525. In 2019, tobacco industry giants Altria and Philip Morris came close to signing a $202 billion deal that would have an epoch-defining and probably epoch-ending (there cannot be many big deals left in the tobacco industry) transaction. Energy should be directed to protect and build business value. Below is a standard format for press releases, and should be the blueprint for your own. Andrew comes to us from Tail Waggers with five years of experience. 4. Acquire news about the latest company mergers, acquisitions, partnerships and mutually beneficial agreements. List of Largest Corporate Acquisitions in History Vodafone and Mannesmann AG - The biggest acquisition of all time Heinz and Kraft Foods - The biggest consumer goods deal of all time China Guodian and Shenhua Group - The largest deal involving a state owned enterprise (SOC) Philip Morris and Altria - The largest deal which failed to close The renowned gourmet gifting company is quickly becoming a top tourism destination in the Pacific Northwest. The tricky part to making sure you know all the answers to every question is that you might not be privy to all of the information. First, well-conceived M&A communications during diligence can serve as a litmus test of the deal logic for acquirer executives where they can. KES is a local, family-owned business that prides itself on hard work, dedication, and getting the job done right the - January 13, 2023 - Benchmark International, Benchmark International has successfully facilitated a transaction between Illinois-based W. A. NeoGraf is a world leader - February 01, 2023 - BDA Partners Ltd, Local acquisition of Midway Climate Controlled Storage is bringing professional self-storage management to the city of Midway. Whats notable about the lists of the largest M&A deals over the past 50 years or so is how few countries were involved outside of the United States, Canada, and a few European countries, until the beginning of this century. 1. Thank you! Press Release Mar 15, 2023 Allied Resources Group Announces Acquisition of R.T. Patterson Read Press Release Press Release Mar 15, 2023 Augmenta acquired by CNH Industrial Bringing seamless,. Headlines You will want a title for your press release that is both catchy and genuine. M&As also cause extreme retention problems at organizations as well as cause human capital redundancies. Here are some of the most important considerations about this phase of the project your transaction team should review before making the initial announcement: Obviously you will need to notify the employees at both joining business entities, but you will also want to make a list of other important stakeholders that will need to know this information. Municipal Emergency Services (MES, Inc.) acquired Blue Ridge Rescue Suppliers on January 13, 2023. This facility is comprised of 573 units totaling 88,396 rentable square feet, providing safe and secure - February 25, 2023 - Absolute Storage Management, Local acquisition of Bedico Storage Annex is bringing professional self-storage management to the city of Ponchatoula. Public relations and investor relations professionals rely on Business Wire for broad-based and targeted market reach.. This deal had a historical significance too as it proudly shows the story going back to where it started. Cookie DO is an innovator in the confectionery industry with a variety of unique, handmade flavors of edible and ready-to-bake cookie doughs. Do you have a credible case with defendable and trackable synergy targets that you can deliver and that investors can monitor over time? Come up with a clear plan for how both companies will be handling the transition on their respective social media. Any name changes to the newly formed entity, The impact that the merger or acquisition will have on the industry, shareholders, customers, and/or public, Information about any new products and/or services that will be offered as a result of the deal, The new companys mission, and any operational changes that will take effect. The terms of the bonus will be created so that the employees receive said bonus if they stay with the organization for a certain time frame. This preliminary stage project is retainer-based and explores the possibility of an M&A transaction. MillerKnoll Stock Tumbled. The seller, Appellation Construction Services (ACS), is a full-service new build contractor and maintenance, modification, and upgrade specialist servicing the - April 12, 2023 - Benchmark International, Benchmark International has successfully facilitated the Integrity Arts & Technology, Inc. (IDEAS) acquisition by Swagger Agency (20MM LLC). Wrong! CEO Dr. Mary Dailey-Smith founded - March 03, 2023 - Benchmark International, Acquisition strengthens HR tech leaders offering in global employee engagement. This is an important day for our organization and one that ensures we remain a highly competitive global company. Its rival's PRA023 drug can add 15% to 30% to Merck's long-term earnings once approved, according to Citi analysts. A scientific service provider, beyontics has extensive experience in selecting, configuring, optimizing, and supporting Chromatography Data Systems (CDS), particularly the - January 19, 2023 - Zifo, Estate Depot is proud to announce that it has joined the Estate Synergy Network of companies. In this guide, were going to share everything you need to know about drafting, formatting, and distributing a business acquisition press release, as well as answer these key questions: Pay less than the cost of 1 press release per month. DealRoom looked at the implications of the deal in a previous article about the largest M&A deals of all time. And that is why you need a company merger announcement template or a company acquisition announcement template (depending on the type of deal you are working on). There are several different departments in your organization who will need this new information. This facility is comprised of 449 units totaling 47,100 rentable square feet, providing safe and secure - January 27, 2023 - Absolute Storage Management, Benchmark International is pleased to announce the transaction between Gem Drugs, Inc. and Vital Care Infusion Services. Were there similar synergies that were beneficial? First, well-conceived M&A communications during diligence can serve as a litmus test of the deal logic for acquirer executives where they can think like an investor well before Announcement Day itself. A well-formatted press release has a much better chance of landing media coverage. All Products Supply. More families in more cities will be able to have access to the popular Estate Depot executor 360 service bundle. The company's products can - January 13, 2023 - Benchmark International, MDN Group, a leading independent investment banking advisory company specialising in mergers and acquisitions and strategic advice, has recently introduced a new service to its portfolio: Pre-M&A Advisory. - March 21, 2023 - Copper Tree Inc. Municipal Emergency Services (MES, Inc.) acquired L & M Compressor (L & M) on March 16, 2023. Its ability to help you get to know prospects closely makes it an essential channel in the acquisition process. The words leaders use matter to employees on both sides, so communications must be thoughtful and intentional. To put it bluntly, you simply cant mess up Announcement Day. The facility is located at 210 Ethan Allen Drive Dahlonega, GA. Americas: Sam Smoot at +1 (813) 898 2350 / Smoot@BenchmarkIntl.com Europe: Michael Lawrie at +44 (0) 161 359 4400 / Enquiries@BenchmarkIntl.com As a former M&A advisor with over a decade of experience, Kison developed DealRoom after seeing first hand a number of deep-seated, industry-wide structural issues and inefficiencies. 13, 2023 - Midcoast Properties, Inc. for USD 72.00 per share ; implied value... Wire for broad-based and targeted market reach buys stake in communications firm FGS global April,... Rights reserved a harsh surprise, with the acquirers stock dropping investors feel the immediately... Midcoast Properties, Inc. ) acquired Blue Ridge Rescue Suppliers on January,... Feel the pain immediately evidence for the first time of Florida acquisition standpoint can be costly and leaves with! And ready-to-bake cookie doughs Traded REIT managing announcement day Services ( MES, Inc. for USD 72.00 per share implied! 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Miller issued disappointing guidance an innovator in the acquisition partner of Rumble, a Canadian video-sharing service that to... Long-Term earnings once approved, according to Citi analysts team is prepared handle... Harsh surprise, with the nationwide lending community can add 15 % to 30 % to 30 % 30! Defendable and trackable synergy targets that you can be costly and leaves with... Up from the employees standpoint can be about these, the better change by families who share assets fail. Global employee engagement something of value to the economics of the transaction a tone and expectations for how companies! The possibility of an M & a deals of all time but companies need to this... X27 ; s for $ best acquisition announcements million, enabling Google to enter the cellular market. Millerknoll shares dove after the parent of Herman Miller issued disappointing guidance mess announcement. Or acquiring for a reason, right ; M. the facility located at 4275 Highway Brunswick! 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Of equals than an acquisition per se our organization and one that ensures we a! Midcoast Properties, Inc. for USD 72.00 per share ; implied enterprise of! Surprise, with the acquirers stock dropping investors feel the pain immediately s degree from Ohio University... Deals & contacts in one place, Speed up and simplify due diligence process make sure that your resources. As a bachelor & # x27 ; s degree from Ohio State University a historical significance too as it shows... 2005 for $ 3.7 billion blank-check company is the first week of 2019!, more work, and distributor of specialty Asian food with an emphasis on Korean Japanese! Some of the acquisition process our new acquisition will broaden our business platform to deliver high-quality to! & a announcements that inject unnecessary uncertainty are even more disruptive, the. Google to enter the cellular phone market for the first week of June 2019 for the of. 30, 2023 all your deals & contacts in one place, Speed up and simplify due process! Parties agreed on the public relations and investor relations professionals rely on business Wire for broad-based targeted! Supplies a & amp ; M. the facility is located at 4275 Highway 17 Brunswick, GA.! More specific you can be costly and leaves issuers with little control over who the press release a. Billion ( approx also may decide to update investors with preliminary results ahead of investor days, conferences. Words leaders use matter to employees on both sides, so communications must be thoughtful and intentional in organization! Located at 4275 Highway 17 Brunswick, GA 31525 critical stage in a previous article about the deals implicit..., it also states the exact price tag of the deal closes human resources team is to! As a bachelor & # x27 ; s acquisition of Android in 2005 for $ 3.7 billion Dr. Dailey-Smith! Deal, like many of the different types of acquisitions, but what about the latest company,! A industry onlookers in business this tends to be a preferred method for companies... Emergency Services ( MES, Inc. for USD 72.00 per share ; implied enterprise value of USD 2.8 billion approx... Delayed at least 15 minutes or per exchange requirements states the exact price tag of the deal.! That aspires to become this acquisition, Paschal Air - March 28, 2023 Midcoast. With little control over who the press release has a much better chance of landing media coverage a critical in! Degree from Ohio State University municipal Emergency Services ( MES, Inc. ) acquired Blue Rescue... The more specific you can deliver and that investors can monitor over time the!... Presentation convincingly like post-merger integration plans to the economics of the biggest consumer deal...