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FTI Consulting Study Reveals Cybersecurity Attacks Are an Increasing Threat to M&A
Globenewswire· 2026-03-17 13:30
Core Insights - The report highlights the increasing correlation between cybersecurity incidents and corporate transactions, emphasizing the need for better integration of cybersecurity measures during M&A activities [1][6] Group 1: Cybersecurity Incidents in Transactions - Nearly 25% of executives have experienced a cyber incident during or shortly after a transaction, with 42% reporting significant deal value reduction [2] - Over 58% of respondents indicated that financial targets were impaired due to cyber incidents, while 20% experienced delays or pauses in deals [2] Group 2: CISO Involvement and Perception - 67% of heads of M&A and 76% of general counsel consider the CISO critical during transactions, yet 34% of CISOs feel they are not heavily involved in decision-making [4] - One in four CISOs report that their leaders prioritize closing deals quickly over conducting thorough cybersecurity due diligence [9] Group 3: Collaboration and Risk Management - Only 17% of CISOs believe that collaboration between cybersecurity and corporate development teams significantly increased during the transaction period, contrasting with 34% of general counsel who felt otherwise [9] - Post-transaction, only 23% of executives manage cybersecurity risks proactively, creating a significant exposure point for organizations [9] Group 4: Recommendations for Deal Teams - Deal teams are advised to account for cyber risk similarly to leak risk, as unexpected disruptions can create confusion and slow negotiations [6] - Recognizing that transactions are increasingly visible targets for threat actors is essential for mitigating risks effectively [6]