The Power of PR in the Build Up to Acquisition

By Jay Smith, Account Supervisor

Whether it was the $13 billion acquisition of E*TRADE by Morgan Stanley in February, Uber’s $2.65 billion deal to acquire Postmates or Visa’s $5.3 million to acquire Price, 2020 has been filled with countless examples of prominent deals despite the hardships faced during the pandemic.

A liquidity event is the common goal of many company founders and investors, because this rewards key stakeholders for their role in creating a truly successful company. Unfortunately, countless great companies fail to reach that milestone event. There are lots of reasons why companies could be missing the mark on this. One of which is a proper PR strategy. 

What many founders and investors fail to recognize is the power of PR, and how it can be one of the key drivers in avoiding failure to reach acquisition. Even if a business does manage to get acquired without a quality PR strategy in place along the way, it will likely be missing out on it’s top potential acquisition price.

A PR program needs to stimulate thoughts of acquisition by resonating on multiple fronts. To achieve this, the PR team must develop and execute a plan that is not only reactive to the market, but opportunistically proactive by positioning the business as a key player within the needle-shifting market conversations. 

PR firms help track industry news first and foremost, and have built relationships with the media members and analysts that influence the buyers market. To help position the company and its executives as experts, PR works to create quality thought leadership projects that not only build on strong relationships with the media but gets companies in front of the buyers that it will need. This type of thought leadership positions the CEO, CTO and other members of the C-suite as the business and technology experts for company news and for commentary on industry trends/issues, op-eds and vision and trend stories.

As any business moves into the final 12-24 months of packaging the company up for sale, PR should be invested in more. Each analyst mention or media placement achieved during this time is a hook that might catch the eye of prospects and potential buyers.

It’s simple – the better the business is known by larger audiences, the more people who are likely to want to buy it. In contrast, if the organization is relatively unknown and keeps a low profile, simply keeping customers happy is not going to be enough for someone to make an offer.

So what are you waiting for? If you’re looking to sell your company in the near future, the time to implement a good PR plan was yesterday.

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