Digital due diligence in mergers & acquisitions

In transactions involving mergers & acquisitions, digital due diligence examines a target company's technology, data, and digital operations. This includes:

• Cybersecurity: Assessing the target's cybersecurity posture, including past breaches, security controls, and compliance with data protection laws.
• Data Governance: Understanding how the target collects, stores, uses, and shares data. This includes compliance with data protection laws such as GDPR and local regulations.
• Intellectual Property: Identifying and protecting the target's digital assets, including software, algorithms, and other IP.
• Software Licensing: Reviewing the target's software licenses to ensure compliance and identify any risks.
• Cloud and IT Infrastructure: Assessing the target's IT infrastructure, including cloud providers, data centers, and disaster recovery plans.

Digital due diligence is becoming increasingly important in M&A transactions. A failure to properly assess digital risks can expose the acquirer to significant liabilities, including regulatory fines, reputational damage, and loss of value.

At Triage Law, we have experience advising on digital due diligence in M&A transactions. We help clients identify digital risks and opportunities, and develop strategies to mitigate risks and maximize value.