Intangible assets should factor into corporate deals

AN ATTRACTIVE balance sheet, complementary product sets, compatible technology platforms or synergistic market coverage may not necessarily point to the perfect corporate partner.

Doing financial, infrastructure, business process and legal due diligence only is taking a gamble against the odds, he argues. “Only 9% of leaders who omitted the dimension of intangible assets considered their deal to have met all the objectives.”

Mr Pannell says that waiting to deal with intangible assets until after the deal is concluded is too late. Those who undertake a due diligence of intangible assets are twice as likely to reach full integration within the critical first “golden year”.