As mergers and purchases (M&As) increase all over the world, cybersecurity is more important than ever. If confidential information is revealed during M&A due-diligence or in post-M&A transactions, the stakes are high.

The good news is the appropriate software can aid M&A CIOs in ensuring the integrity of data, maintaining compliance, and protecting against the risks associated M&A activities. This is why they need the right data room software that combines various digital tools into a single integrated platform, with simple uploads of files and a single sign-on. It also offers extensive auditing and reporting options which helps compliance teams maintain control of their data and prevent accidental disclosure.

Virtual data rooms can be an excellent tool for managing the M&A processes, from due diligence to post-M&A activities and integration. VDRs allow authorized users to review and comment on sensitive documents without fear of leaks. They also permit users to create activity reports that reveal who has read or accessed specific pages of documents. These reports can deter bad actors from leaking data because they can trace them back to the individual user. These reports also allow M&A CISOs to assess the level of interest from potential investors or buyers.

Many M&A transactions are founded on intellectual property. Life science companies, for example rely on virtual data rooms to handle everything from clinical trial results and HIPAA compliance to licensing IP and storages of patient files. When conducting M&A due diligence, it is common for companies to have to submit and review large amounts of documents. This can be a very labor-intensive and time-consuming process for both the business being purchased and the acquirer. A VDR can be used to transfer all this data through an encrypted platform.

M&A is a complicated business process that can pose significant security risks, no matter the industry. In the integration and operation phases of the M&A cycle, the M&A team must be aware of the possible risks that cybercriminals and rivals pose. These risks can include malware, unauthorised network and system access, sabotage and other disruptions that can undermine M&A’s value proposition.

M&A can be an enjoyable and profitable business experience when you virtual data room comparison have the appropriate cybersecurity solutions. M&A is a huge chance for businesses to increase value and expand their global reach. Before any transaction can commence it is essential that an M&A targeted cybersecurity plan should be implemented to ensure the value of the deal is not diminished. To find out more get our free guide Cybersecurity for M&A: From the M&A Playbook. Todd Thiemann, director of product marketing at ReliaQuest GreyMatter is a Security Operations Platform which can make cybersecurity possible through M&A. It provides visibility, cuts through the multi-layered security stacks and manages risk and uncertainty to help your company reach its goals.