What if We’re Involved in M&A?
Buying or selling a company can be difficult ground for a communications executive, especially if one or both of the companies involved are publicly traded. Because RGA has a history of working with startup technology firms, eight of our clients over the past 15 years or so have been acquired by larger, publicly traded firms.
When that happens, my team is often left out of the loop, by design. No one can afford some hint of the news to slip into a document during the quiet period because the PR team knew about it in advance.
But after visiting with friends in my industry who broker mergers and acquisition deals for a living, I have found that there is nothing wrong with continuing the work of promoting either of the companies, independently, ahead of the quiet period.
This work is subtly different from other marketing and promotional work we typically do. Instead of promoting a single brand, product or executive, we want to increase the perceived value of the entire company.
Here are some ways we can help companies do this:
Highlight Growth Potential
Make sure all new documents emphasize revenue/profit growth trends and projections to show future upside potential. Let executives share data on untapped markets and expansion opportunities.
Double Down on Brand Building
Enhance brand awareness, reputation, and positioning through all marketing channels in an effort to demonstrate deep connections to the company’s target market across a spectrum of offerings.
Make a Big Deal of Intellectual Property
Publish press releases on the company’s recent patents and registered trademarks. Shine a light on the R&D team and the product development executives. Let them talk about the growth potential they see.
Show the Strength of the Management Team
Hire experienced managers pre-sale to show depth of leadership and smooth transition potential. Make sure executive bios and press releases are published on the company’s website for everyone on the management team. And get those people blogging.
Maximizing perceived value is all about framing the company in the best possible light across all of the dimensions buyers will examine during their due diligence. Proactive moves to optimize and elevate value drivers can significantly boost valuation potential, but starting early is key.
For more information about how RGA can help you increase your company’s perceived value ahead of an M&A event, schedule a call with us today.
