An effective board of directors is a champion of strong governance for the organization it serves. All aspects of its oversight role are germane to mergers and acquisitions (M&A)—with some oversight activities specific to M&A. The board’s oversight with respect to M&A mirrors its overall focus on advising the CEO—including offering a contrarian voice when necessary—regarding strategic matters, policy approval, enterprise performance monitoring, reporting transparency and enterprise risk management. Our discussion is from the acquirer’s perspective.
Based on insights from NACD/Protiviti roundtables and experience serving clients in the M&A space, this article offers 10 keys to the board’s M&A oversight.