Satish Shankar is a leader of Bains Asia Pacific Mergers & Acquisitions practice. Mr. Shankar joined Bain in 1997, as a consultant; he is now a patner in Bain’s Singapore office. He has also worked on a wide range of engagements including portfolio; business unit, turnaround and market entry strategies; operational excellence; and M&A.
M&A viewpoint
M&A is a challenging discipline to master–our research shows that only one in three deals is successful. But it is something that Asia's leading companies need to add to their repertoire, for if done well M&A can be a tremendous growth enabler, especially when expanding internationally. While cross-border deals are often perceived as more risky our research shows that the odds of success are actually the same as for domestic deals. Successful acquirers take a very disciplined approach to M&A:
- They ensure a strong linkage between M&A and their growth strategy.
- They systematically build strong M&A and merger integration capabilities at the corporate center, starting with small deals before tackling larger, more complex transactions.
- They proactively identify and cultivate relationships with potential targets, rather than just reacting to deal opportunities as they arise in the market.
- They rigorously due diligence potential targets and put decision-making mechanisms in place to avoid 'deal fever'.
- They tailor their integration approach to the type of deal and chart an integration course early to capture full value.
Bain & Company is uniquely positioned to help companies improve their odds of winning with M&A through an integrated, battle-tested approach that links acquisition strategy, diligence and integration. Bain-supported merger integrations on average generated 20 percent higher excess shareholder returns.
