M & A Negotiating Skills
This two-day course addresses the fundamentals of negotiation, and uses a clear 4-stage framework (prepare, trade information, bargain and close). See below to download the 4-step framework.
We explore 5 different types of M & A acquisition, and investigate the impact that different deal structures have on the negotiating process.
An important part of this workshop is the principle that all elements of a negotiation are linked, and that is what differentiates negotiation from a multiple haggle.
By establishing what we want and what we can concede, we can keep the negotiating issues linked, and work on the package value. An M & A deal package can vary between a "clean" deal (here's the cash and go away) to a contingent deal where the sale price is only one of a number of components, which can include earn-outs, warranties, indemnities, locked box, shares, cash and convertibles.
We show the typical negotiating ploys, which are tactics designed to get you to change your position without the other party changing theirs. These devices are well-known, and include questionnable tactics with such colourful names as the Russian Front, Noah's Ark, Brooklyn Optician and, of course, our old favourite Good Cop, Bad Cop. We show participants how to recognise 20 or so of these ploys, and give tips on how to counter them.
We cover the key team roles in negotiation, which the participants use in a live M & A negotiation on the second day, where they work in teams to negotiate the sale /purchase of a Belgian auto-components manufacturing firm over two phases of negotiations. Learning comes both from conducting the negotiations (where each participant benefits from direct "at-the-table" experience), and in participating in the learning debrief process.
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