Privacy And Data Security Considerations In M&A Transactions

When entering into any merger or acquisition (both a stock deal and an asset deal), there are numerous privacy and data security issues that must be evaluated and addressed from the beginning. Most companies in today's online world collect and store data that is sometimes highly sensitive or in large volumes where breach would potentially be highly damaging.  This means it is more important than ever for buyers to conduct a thorough evaluation of the data privacy and security measures a target has and has had in place, as well as determine if there are any related concerns or issues that could prove to be problematic down the line.

In order to mitigate risk and liability, buyers need to investigate the kinds of data a target collects, especially if this is personal or highly sensitive information, which are subject to additional regulations.  What policies and practices have they maintained in place to protect this data? Has that data been shared, and if so, how is