2019-5-10 08:30 |
Reputation always matters, but rarely more than in large M&A deals. With M&A worth $3 trillion a year across the US and Europe, even a small reputational issue can cost billions if it makes the difference between a deal taking place or being scuppered.
Historically, reputational damage often revolved around accounting “irregularities. ” Think Enron, Worldcom, and AIG to name a few. In M&A, HP’s disastrous acquisition of Autonomy is one of the most high-profile examples of accounting wrongdoing. HP bought the British tech business for $12 billion in 2011 and wrote off $9 billion only 12 months later. After a…
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