In every M&A transaction the buyer will perform arduous due diligence to ensure they know what they are buying and what obligations they are assuming. So many areas are reviewed for valuations and risk assessments with one major area often forgotten, cyber security compliance.
With the ever evolving cyber security regulation landscape and hefty fines for lack of compliance acquiring companies are exposing themselves to greater risks by not adding cyber security compliance to their due diligence checklist to expose issues ahead of any negotiations and commitments.
Without looking, the acquiring company could be exposed to unreported incidents, possibly even data breaches and associated lawsuits. Fines for negligent behavior if servers are out of date, left unpatched or just improperly configured.
Unfortunately these costs are often the just the tip of the iceberg with remediation costs, for new hardware, software, manpower, etc.. stacking on top of any incident.
Let Critical Path Security take the lead on the following initiatives during your next M&A transaction to alleviate concerns ahead of any negotiations & obligations.
- Cyber Compliance Gap Analysis
- Advise on security roles and responsibilitied
- Develop and oversee missing security policies
- Review both organization’s technology architectures
- Establish security awareness initiatives