Assess whether integration costs were sandbagged in the CIM (a3678b)

Situation

Legal, IP, and Regulatory work in a roll-up of three regional service companies now turns on integration costs were sandbagged because IT diligence showing two ERPs and no chart of accounts map put management-team retention and key-person map in play. Integration-risk PMO should say what management-team retention and key-person map proves.

Decision

Integration-risk PMO in a roll-up of three regional service companies must choose Proceed / Reprice / Walk / Hold using management-team retention and key-person map after IT diligence showing two ERPs and no chart of accounts map.

Hypotheses to test

• Authorize Proceed now; management-team retention and key-person map already has the discriminator after IT diligence showing two ERPs and no chart of accounts map.
• Keep Reprice in force until management-team retention and key-person map is completed after IT diligence showing two ERPs and no chart of accounts map for integration-risk PMO.
• Treat management-team retention and key-person map as Walk because both readings appear after IT diligence showing two ERPs and no chart of accounts map.
• Refuse a M&A Due Diligence close: integration-risk PMO does not have the page integration costs were sandbagged turns on in management-team retention and key-person map.

Analysis required

• Test whether IT diligence showing two ERPs and no chart of accounts map is a diligence gap, a price chip, or a walk-away.
• Separate a one-off add-back from a recurring earnings issue in management-team retention and key-person map.
• Map reps, earnout mechanics, and integration risk a roll-up of three regional service companies would inherit.
• For this M&A Due Diligence Legal, IP, and Regulatory file, read management-team retention and key-person map against IT diligence showing two ERPs and no chart of accounts map and write the one fact that would move integration costs were sandbagged for integration-risk PMO.

Recommendation

Choose Proceed / Reprice / Walk / Hold on this M&A Due Diligence / Legal, IP, and Regulatory packet (management-team retention and key-person map after IT diligence showing two ERPs and no chart of accounts map). Lead with the M&A Due Diligence option management-team retention and key-person map can support after IT diligence showing two ERPs and no chart of accounts map, then the two facts that force it, then the Monday action for integration-risk PMO in a roll-up of three regional service companies.