Assess whether a top customer is actually sticky from post-merger

Situation

Commercial-diligence partner owns a top customer is actually sticky inside a family-office reviewing a manufacturing target with post-merger systems-integration risk register as the only packet. IT diligence showing two ERPs and no chart of accounts map is what changed the clock for this M&A Due Diligence Earnings and Revenue Quality file.

Decision

Commercial-diligence partner in a family-office reviewing a manufacturing target must choose Proceed / Reprice / Walk / Hold using post-merger systems-integration risk register after IT diligence showing two ERPs and no chart of accounts map.

Hypotheses to test

• The population in post-merger systems-integration risk register is the one IT diligence showing two ERPs and no chart of accounts map named, so Proceed follows for this Earnings and Revenue Quality file.
• The population in post-merger systems-integration risk register is adjacent only to IT diligence showing two ERPs and no chart of accounts map; Reprice is the honest M&A Due Diligence call.
• A family-office reviewing a manufacturing target already contained IT diligence showing two ERPs and no chart of accounts map before post-merger systems-integration risk register arrived; no new Earnings and Revenue Quality path.
• Provenance on post-merger systems-integration risk register after IT diligence showing two ERPs and no chart of accounts map is broken; do not pick Proceed or Reprice yet.

Analysis required

• Map reps, earnout mechanics, and integration risk a family-office reviewing a manufacturing target would inherit.
• Tie quality-of-earnings, working-capital, and contingent items in post-merger systems-integration risk register to a top customer is actually sticky.
• Name the document commercial-diligence partner still needs before signing.
• For this M&A Due Diligence Earnings and Revenue Quality file, read post-merger systems-integration risk register against IT diligence showing two ERPs and no chart of accounts map and write the one fact that would move a top customer is actually sticky for commercial-diligence partner.

Recommendation

Choose Proceed / Reprice / Walk / Hold on this M&A Due Diligence / Earnings and Revenue Quality packet (post-merger systems-integration risk register after IT diligence showing two ERPs and no chart of accounts map). If post-merger systems-integration risk register cannot force a M&A Due Diligence label under Earnings and Revenue Quality, stop. Do not invent pages a family-office reviewing a manufacturing target does not have.