SCIENCE/TECHNOLOGY
Compiled by David Olmos, Times Staff Writer
About two-thirds of the mergers between high-technology companies succeed, and the rest eventually result in divestiture, according to a study by a New Jersey consultant.
The price paid for the acquired company is the key determining factor in 70% of the deals surveyed, the study found.
The report was prepared by The Cerberus Group, a corporate-merger consulting firm.
According to the study, other factors affecting the success of mergers are the similarity of customer bases, management styles and “culture,” and complementary technologies and corporate strategies.
