Why Cybersecurity Programs Shown To Have Tangible Value In M&A Assessments

By   ISBuzz Team
Writer , Information Security Buzz | Oct 03, 2019 05:55 am PST

Earlier this week, (ISC)² – the world’s largest non-profit association of certified cybersecurity professionals – released the findings from its Cybersecurity Assessments in Mergers and Acquisitions report, which surveyed 250 U.S.-based professionals with mergers and acquisitions (M&A) expertise. The goal of the study was to discover how cybersecurity programs and breach history factor into the dollars and cents valuation of companies during a potential purchase. 96% of respondents indicated that cybersecurity readiness factors into the calculation when they are assessing the overall monetary value of a potential acquisition target.

It has been reported that survey respondents unanimously agreed that cybersecurity audits are not only commonplace, but are actually standard practice during M&A transaction preparation. The research also found that the results of such due diligence can have a tangible effect on the outcome of a deal, both in terms of overall value and even whether a deal is completed or not. The report’s findings highlight the importance of developing and adhering to sound cybersecurity strategies and policies in order to maximise organisational value.