Assess whether integration costs were sandbagged in the CIM (d8937e)

Situation

The desk packet is revenue-quality bridge from bookings to cash after a contractor who actually wrote the core code. Carve-out separation lead in a health-system acquiring a specialty practice has to name Proceed or Reprice for this M&A Due Diligence People and Contracts file.

Decision

Carve-out separation lead in a health-system acquiring a specialty practice must choose Proceed / Reprice / Walk / Hold using revenue-quality bridge from bookings to cash after a contractor who actually wrote the core code.

Hypotheses to test

• The population in revenue-quality bridge from bookings to cash is the one a contractor who actually wrote the core code named, so Proceed follows for this People and Contracts file.
• The population in revenue-quality bridge from bookings to cash is adjacent only to a contractor who actually wrote the core code; Reprice is the honest M&A Due Diligence call.
• A health-system acquiring a specialty practice already contained a contractor who actually wrote the core code before revenue-quality bridge from bookings to cash arrived; no new People and Contracts path.
• Provenance on revenue-quality bridge from bookings to cash after a contractor who actually wrote the core code is broken; do not pick Proceed or Reprice yet.

Analysis required

• Test whether a contractor who actually wrote the core code is a diligence gap, a price chip, or a walk-away.
• Separate a one-off add-back from a recurring earnings issue in revenue-quality bridge from bookings to cash.
• Map reps, earnout mechanics, and integration risk a health-system acquiring a specialty practice would inherit.
• For this M&A Due Diligence People and Contracts file, read revenue-quality bridge from bookings to cash against a contractor who actually wrote the core code and write the one fact that would move integration costs were sandbagged for carve-out separation lead.

Recommendation

Choose Proceed / Reprice / Walk / Hold on this M&A Due Diligence / People and Contracts packet (revenue-quality bridge from bookings to cash after a contractor who actually wrote the core code). The follow-on People and Contracts action is what carve-out separation lead does next: implement the option, assign an owner, and log the missing fact.