Investment Committee Presentations for M&A

The Investment Committee (IC) presentation is your opportunity to secure approval for an M&A transaction. A well-crafted IC deck tells a compelling story, addresses concerns head-on, and demonstrates rigorous analysis.

What is an IC Presentation?

Purpose

An IC presentation (also called Board presentation for larger deals) is a formal pitch to decision-makers requesting approval to:

• Execute a Letter of Intent (LOI)
• Proceed with full due diligence
• Submit binding offer
• Execute definitive agreement
• Close transaction

Typical Audience

• Investment Committee: CFO, CEO, COO, Head of Corp Dev, Business Unit leads
• Board of Directors (deals >$X threshold or strategic importance)
• Private Equity IC (for PE-backed companies or PE buyers)

Decision Criteria

IC evaluates deals on:

1. Strategic Fit: Does this serve our strategy?
2. Financial Returns: Does this meet hurdle rates?
3. Risk: Can we manage downside scenarios?
4. Execution: Can we successfully integrate?
5. Alternatives: Is this our best use of capital?

IC Presentation Structure

Recommended Flow (20-25 Slides)

Slide-by-Slide Breakdown

Slide 1: Executive Summary

The "If You Only Read One Slide" Page

┌────────────────────────────────────────────────────────┐
│  EXECUTIVE SUMMARY: [Target Name] Acquisition          │
├────────────────────────────────────────────────────────┤
│                                                         │
│  TRANSACTION OVERVIEW                                  │
│  • Target: [Name], [description in 1 sentence]        │
│  • Purchase Price: $[X]M ([X.X]x Revenue, [X.X]x EBITDA) │
│  • Structure: [Cash/Stock/Mix]                         │
│  • Expected Close: [Q/Year]                            │
│                                                         │
│  STRATEGIC RATIONALE                                   │
│  [2-3 bullets summarizing why this deal makes sense]  │
│                                                         │
│  FINANCIAL RETURNS (BASE CASE)                         │
│  • IRR: [X]% (vs. [X]% hurdle)                        │
│  • NPV: $[X]M                                          │
│  • EPS Impact (Year 2): [X]% accretive               │
│  • Payback: [X] years                                  │
│                                                         │
│  KEY RISKS & MITIGATIONS                               │
│  [Top 2 risks with 1-line mitigation each]            │
│                                                         │
│  RECOMMENDATION                                        │
│  [✓ Approve / Approve with conditions / Decline]      │
│                                                         │
└────────────────────────────────────────────────────────┘

Best Practices

• This slide should stand alone if it's all IC reads
• Use specific numbers, not ranges or vague language
• Bold the "big number" metrics (IRR, NPV, Price)
• State recommendation clearly (don't bury it)

Slides 2-5: Strategic Rationale

Slide 2: Strategic Context

Show where company is today and strategic gap:

OUR STRATEGIC PRIORITIES          TARGET ADDRESSES
┌─────────────────────┐          ┌─────────────────────┐
│ 1. Enter cloud security  →  Provides market-leading  │
│    market                       cloud security platform│
│                                                         │
│ 2. Expand enterprise     →  650 enterprise customers  │
│    customer base                with $50K+ ACV        │
│                                                         │
│ 3. Accelerate SaaS       →  85% recurring revenue,    │
│    transition                   cloud-native stack    │
└─────────────────────┘          └─────────────────────┘

Slide 3: Why This Deal / Why Now

Slide 4: Strategic Archetype

Clearly state primary strategic driver:

Slide 5: Competitive Positioning

Show how deal strengthens competitive position:

CURRENT STATE              POST-ACQUISITION
  ┌─────────┐                  ┌─────────┐
  │ Player A│ 30%              │   US    │ 28%
  ├─────────┤                  ├─────────┤
  │ Player B│ 22%              │ Player A│ 25%
  ├─────────┤          →       ├─────────┤
  │   US    │ 15%              │ Player B│ 22%
  ├─────────┤                  ├─────────┤
  │ Target  │ 13%              │ Others  │ 25%
  ├─────────┤                  └─────────┘
  │ Others  │ 20%
  └─────────┘

RANK: #3 → #1               SHARE: 15% → 28%

Slides 6-8: Target Overview

Slide 6: Target Company Profile

┌────────────────────────────────────────────────────────┐
│  [COMPANY LOGO]                                        │
│                                                         │
│  COMPANY OVERVIEW                                      │
│  • Founded: [Year] │ HQ: [Location] │ Employees: [X]  │
│  • [1-sentence description of what company does]       │
│                                                         │
│  FINANCIAL HIGHLIGHTS (LTM)                            │
│  • Revenue: $[X]M (+[X]% YoY)                         │
│  • EBITDA: $[X]M ([X]% margin)                        │
│  • ARR: $[X]M ([X]% recurring)                         │
│                                                         │
│  KEY METRICS                                           │
│  • Customers: [X] ([X]% enterprise, [X]% SMB)         │
│  • NRR: [X]%                                           │
│  • CAC Payback: [X] months                             │
│  • Rule of 40: [X]                                     │
│                                                         │
│  COMPETITIVE POSITION                                  │
│  • Market share: [X]% ([#X] player in $[X]B market)   │
│  • Key differentiators: [2-3 bullets]                  │
│                                                         │
└────────────────────────────────────────────────────────┘

Slide 7: Target Financial Performance

Show historical and projected performance:

REVENUE & GROWTH                    EBITDA MARGIN
$150M  ┃                            30% ┃
       ┃     ██                          ┃     ╱╱
$100M  ┃   ██  ██                    20% ┃   ╱╱
       ┃ ██      ██                      ┃ ╱╱
$50M   ┃                            10% ┃
       ┗━━━━━━━━━━━━                     ┗━━━━━━━━━━━━
       2021 2022 2023 2024E            2021 2022 2023 2024E

       +25% +32% +28% +25%              18%  22%  25%  27%

Slide 8: Target Strengths & Weaknesses

Slides 9-10: Market Opportunity

Slide 9: Market Size & Growth

TOTAL ADDRESSABLE MARKET (TAM)

$50B ┃
     ┃                      ██
$40B ┃                    ██
     ┃                  ██
$30B ┃                ██
     ┃              ██  ← $42B by 2027
$20B ┃            ██      15% CAGR
     ┃          ██
$10B ┃        ██
     ┃      ██ ← $18B today
     ┗━━━━━━━━━━━━━━━━━━━━━━━
     2023    2024    2025    2026    2027

COMBINED SHARE: 2.8% → Significant runway for growth

Slide 10: Market Trends & Tailwinds

KEY MARKET DRIVERS

1. 📈 Cloud Migration Accelerating
   - 70% of enterprises migrating to cloud by 2025
   - Security spending growing 2x faster than overall IT

2. 🔒 Regulatory Requirements Increasing
   - GDPR, CCPA, SOC2 driving security investment
   - Compliance spending up 25% YoY

3. 🎯 Consolidation Preference
   - CIOs prefer integrated platforms vs. point solutions
   - Average enterprise uses 50+ security tools (reducing to 10-15)

4. 💰 Favorable Pricing Environment
   - Willingness to pay for AI-powered security
   - Security budgets resilient even in downturn

Slides 11-15: Financial Analysis

Slide 11: Valuation Summary

VALUATION ANALYSIS

Method                  Implied Value    Weight    Weighted Value
─────────────────────   ──────────────   ──────   ──────────────
DCF (WACC 10.5%)        $450M - $550M     40%         $500M
Comparable Companies    $420M - $520M     30%         $470M
Precedent Transactions  $480M - $580M     30%         $530M
                                                   ─────────────
FAIR VALUE RANGE                                      $490M


PURCHASE PRICE: $500M

Valuation Multiples:
• EV/Revenue (LTM):     3.5x  (vs. comps median 3.2x)
• EV/EBITDA (LTM):     11.5x  (vs. comps median 10.8x)
• EV/ARR:               4.0x  (vs. SaaS median 4.2x)

ASSESSMENT: ✓ Fair value, slight premium justified by strategic fit

Slide 12: Returns Analysis

BASE CASE FINANCIAL RETURNS

┌──────────────────┬────────────┬────────────┬────────────┐
│ Metric           │ Base Case  │ Upside     │ Downside   │
├──────────────────┼────────────┼────────────┼────────────┤
│ IRR              │   18.5%    │   24.2%    │   12.1%    │
│ NPV              │  $120M     │  $250M     │   $40M     │
│ Payback Period   │   4.2 yrs  │   3.1 yrs  │   6.5 yrs  │
│ ROIC (Year 3)    │   14.2%    │   18.5%    │    9.8%    │
│ EPS Accretion Y2 │    8.5%    │   12.0%    │    3.2%    │
└──────────────────┴────────────┴────────────┴────────────┘

Probability Weight:     60%         20%         20%

HURDLE RATE: 15% IRR
BASE CASE: 18.5% IRR → ✓ Clears hurdle with 350bps margin

DOWNSIDE STILL ACCEPTABLE: 12.1% IRR (still positive NPV)

Slide 13: Pro Forma Financial Impact

PRO FORMA P&L (YEAR 2)

($M)              Acquirer  Target  Synergies  Pro Forma  % Change
───────────────   ────────  ──────  ─────────  ─────────  ────────
Revenue             $2,000    $500       $50     $2,550     +27.5%
EBITDA                $400    $100      $110       $610     +52.5%
EBITDA Margin         20.0%   20.0%       -       23.9%    +390bps


BALANCE SHEET IMPACT

Metric              Pre-Deal  Post-Deal  Target    Achieved by
──────────────────  ────────  ─────────  ──────   ─────────────
Net Debt/EBITDA        1.3x      2.8x     <3.0x    Day 1 ✓
EBITDA/Interest       12.0x      8.5x     >5.0x    Day 1 ✓
Projected Year 3       1.3x      1.8x     <2.0x    Month 36 ✓

CREDIT RATING: Maintain BBB (per rating agency pre-wire)

Slide 14: Sensitivity Analysis

IRR SENSITIVITY TO KEY ASSUMPTIONS

                    -20%      -10%     Base     +10%     +20%
────────────────  ────────  ────────  ──────  ────────  ────────
Revenue Growth      14.2%     16.1%    18.5%    20.7%     23.1%
Synergy Capture     12.8%     15.8%    18.5%    21.0%     23.2%
Exit Multiple       15.1%     16.9%    18.5%    19.8%     21.0%
Integration Costs   19.8%     19.1%    18.5%    17.9%     17.2%

KEY INSIGHTS:
• Most sensitive to revenue growth and synergy capture
• Still >12% IRR even with 20% reduction in key assumptions
• Upside scenario (all +10%) delivers 22%+ IRR

Slide 15: Sources & Uses / Financing

SOURCES & USES OF FUNDS

Sources              $M        Uses                    $M
─────────────────  ──────    ─────────────────────  ──────
Cash on Hand         $240    Purchase Price           $500
New Term Loan        $300    Refinance Target Debt    $100
                             Transaction Costs         $40
─────────────────  ──────    ─────────────────────  ──────
Total Sources        $540    Total Uses               $540


FINANCING PLAN
• New 5-year term loan: $300M @ L+275bps
• Pro forma leverage: 2.8x Net Debt/EBITDA
• Committed financing from [Bank Name]
• Deleveraging plan: <2.0x by Year 3 through FCF
• Maintains investment grade rating (BBB)

Slides 16-18: Synergies & Value Creation

Slide 16: Synergy Summary

3-YEAR SYNERGY PLAN

                        Year 1    Year 2    Year 3   Run-Rate
─────────────────────  ───────   ───────   ───────  ─────────
COST SYNERGIES
Headcount Reduction      $7M       $18M      $22M      $22M
Procurement Savings      $3M        $8M      $10M      $10M
IT Consolidation         $1M        $2M       $3M       $3M
Facility Rationalization $0         $3M       $5M       $5M
                       ──────    ───────   ───────   ───────
Total Cost Synergies    $11M       $31M      $40M      $40M


REVENUE SYNERGIES
Cross-Sell (Conservative) $3M       $8M      $15M      $15M
                       ──────    ───────   ───────   ───────

TOTAL SYNERGIES         $14M       $39M      $55M      $55M
PV (3-year, 10% disc):  $150M


INTEGRATION COSTS
One-Time Costs          $25M       $20M       $5M      $50M

NET VALUE CREATION: $100M NPV

Slide 17: Synergy Detail by Source

Slide 18: Value Creation Bridge

VALUE CREATION WATERFALL

$600M │                                              ┌─────┐
      │                                              │     │
$500M │                          ┌─────┐            │ Pro │
      │                          │     │   ╱╲       │Forma│
$400M │     ┌─────┐             │Total│  ╱  ╲      │Value│
      │     │Stand│   ╱╲  ╱╲   │Value│ ╱Intg.\     │     │
$300M │     │alone│  ╱  ╲╱  ╲  │     │╱Costs  ╲    │     │
      │     │Value│ ╱Cost Rev.╲│  +  │-       │    │     │
$200M │     │     │╱Syn  Syn. ││Other│ $50M   │    │     │
      │     │     │ $120 $80  ││ $50M│        │    │     │
$100M │     │$400M│     M   M │└─────┘        └────└─────┘
      └─────┴─────┴───────────┘
             │                              │
             └──────────────────────────────┘
                   $200M Value Added

             Less: Purchase Price  -$500M
             ═════════════════════════════
             NET VALUE CREATION:    $100M

Slides 19-20: Integration & Execution

Slide 19: Integration Approach

100-DAY INTEGRATION PLAN

DAY 1-30: STABILIZE
✓ Integration governance launched (Steering Committee, IMO)
✓ Day 1 communications (employees, customers, partners)
✓ Retention packages for 50 critical employees
✓ Quick wins: Procurement contracts, system decommissions

DAY 31-60: EXECUTE CORE SYNERGIES
✓ Headcount decisions communicated
✓ IT migration plan finalized
✓ Office consolidation announced
✓ Sales training on combined portfolio begins

DAY 61-100: SCALE VALUE CAPTURE
✓ Headcount reductions effective
✓ IT migrations Wave 1 complete
✓ Cross-sell pilot launched (20 customers)
✓ Monthly synergy tracking operational

YEAR 1 TARGET: $14M synergies realized, 30% of run-rate

Slide 20: Integration Governance

INTEGRATION ORGANIZATION

┌─────────────────────────────────────────┐
│       Steering Committee                │
│  CEO, CFO, COO (Monthly Reviews)        │
└─────────────────────────────────────────┘
                  │
┌─────────────────────────────────────────┐
│    Integration Management Office        │
│  VP Integration (Dedicated FTE Year 1)  │
│  5-person IMO team                      │
└─────────────────────────────────────────┘
                  │
    ┌─────────────┴─────────────┬─────────────────┐
    │                           │                 │
┌─────────┐              ┌─────────┐        ┌─────────┐
│Finance &│              │  Sales &│        │IT & Ops │
│  G&A    │              │ Revenue │        │         │
│Workstream│             │Workstream│       │Workstream│
└─────────┘              └─────────┘        └─────────┘

DEDICATED RESOURCES: 1 VP + 5 FTE IMO + 15 FTE workstreams
EXTERNAL SUPPORT: [Consulting Firm] for IT migration

Slides 21-22: Risk Assessment

Slide 21: Key Risks & Mitigations

Slide 22: Downside Scenario Analysis

STRESS TEST: DOWNSIDE SCENARIO

Assumptions (Pessimistic):
• Revenue: 20% below base case (market downturn, customer losses)
• Synergies: Only 50% realized (execution challenges)
• Integration Costs: 2x budget ($100M vs. $50M)
• Timeline: Delayed by 6 months

Downside Results:
┌──────────────────────┬───────────┬────────────┐
│ Metric               │ Base Case │  Downside  │
├──────────────────────┼───────────┼────────────┤
│ IRR                  │   18.5%   │   12.1%    │ ← Still >12%
│ NPV                  │  $120M    │   $40M     │ ← Still positive
│ EPS Accretion (Y2)   │    8.5%   │    3.2%    │ ← Still accretive
│ Net Debt/EBITDA (Y1) │    2.8x   │    3.2x    │ ← Within covenant
└──────────────────────┴───────────┴────────────┘

✓ DOWNSIDE STILL ACCEPTABLE: Positive NPV, >12% IRR, manageable leverage

Slide 23: Recommendation

The Ask

┌────────────────────────────────────────────────────────┐
│                                                         │
│                    RECOMMENDATION                       │
│                                                         │
│  ✓ APPROVE acquisition of [Target Name] for $500M     │
│                                                         │
│  RATIONALE:                                            │
│  1. Strategically aligned: Provides critical cloud     │
│     security capability, 2-3 year time-to-market      │
│     advantage vs. organic build                        │
│                                                         │
│  2. Financially attractive: 18.5% IRR vs. 15% hurdle, │
│     $120M NPV, 8.5% EPS accretive by Year 2           │
│                                                         │
│  3. Manageable risk: Downside scenario still delivers  │
│     12.1% IRR and positive NPV                         │
│                                                         │
│  4. Executable: Detailed integration plan, proven      │
│     team, committed financing                          │
│                                                         │
│  NEXT STEPS:                                           │
│  • Execute Letter of Intent (Week of [Date])          │
│  • 60-day exclusivity period for confirmatory DD      │
│  • Return to IC for binding offer approval            │
│  • Target close: [Q/Year]                              │
│                                                         │
└────────────────────────────────────────────────────────┘

Alternative Format (Traffic Light)

Appendix (10-20 Slides)

Essential Backup Slides

Include detailed supporting analysis for Q&A:

1. Detailed Financial Model (P&L, BS, CF projections)
2. Synergy Detail by Initiative (bottoms-up build)
3. Comparable Company Analysis (with metrics table)
4. Precedent Transaction Analysis (with multiples)
5. Management Team Bios (Target leadership)
6. Customer Analysis (top customers, concentration, NRR)
7. Product Roadmap (integration plans)
8. Technology Stack (compatibility assessment)
9. Competitive Landscape (positioning map)
10. Market Research (TAM methodology, growth drivers)
11. Legal/Regulatory (key contract terms, approval timeline)
12. Tax Structure (338(h)(10) vs. stock deal implications)
13. Transaction Timeline (key milestones and gates)
14. Use of Proceeds (if target has debt or preferred)
15. Employee Census (headcount by function, retention risk)

Preparation & Delivery

Pre-Meeting Preparation

2 Weeks Before

• Draft IC deck (complete with appendix)
• Internal review with Corp Dev team
• CFO review of financial analysis
• Legal review of transaction structure
• Identify potential objections

1 Week Before

• Pre-wire with IC members individually
• Incorporate feedback into deck
• Prepare Q&A document (50+ potential questions)
• Practice presentation (30 min main + 30 min Q&A)
• Finalize recommendation and ask

Day Before

• Final deck review and polish
• Send deck to IC 24 hours in advance
• Confirm attendees and logistics
• Prepare backup materials

Pre-Wiring Strategy

Why Pre-Wire?

Pre-wiring = meeting with IC members 1-on-1 before formal presentation to:

• Gauge support and identify concerns
• Incorporate feedback before the meeting
• Build consensus and avoid surprises
• Tailor presentation to address specific concerns

Pre-Wire Template

MEETING: 30-45 minutes with [Name]

OBJECTIVES:
1. Get early feedback on strategic rationale
2. Understand financial return expectations
3. Identify concerns or objections
4. Secure support (or know where resistance is)

KEY DISCUSSION POINTS:
• Strategic fit with corporate priorities
• Financial returns (IRR, NPV, EPS impact)
• Key risks and how we're mitigating
• Integration confidence

QUESTIONS TO ASK:
• "What's your initial reaction to this opportunity?"
• "What would make you most confident in approving this?"
• "What concerns should we address in the IC presentation?"
• "Are there specific analyses you'd like to see?"

OUTCOME:
✓ Supporter / ? Neutral / ✗ Skeptic
Key concerns: [list]
Action items: [what to add/change in deck]

Presentation Delivery Tips

Structure Your Talk Track

• Slide 1 (Executive Summary): 2-3 min

  • "This is a $500M acquisition of [Target], a market-leading cloud security platform."
  • "Strategically, this addresses our #1 priority of entering cloud security."
  • "Financially, it delivers 18.5% IRR, well above our 15% hurdle."
  • "We're recommending approval to proceed to LOI."

• Slides 2-5 (Strategic Rationale): 5-7 min

  • Tell the strategic story clearly and concisely
  • Connect to stated corporate priorities
  • Explain why this target and why now

• Slides 6-8 (Target Overview): 3-4 min

  • Describe what the company does and why it's attractive
  • Highlight key metrics and competitive position

• Slides 9-10 (Market): 2-3 min

  • Set context on market size and growth
  • Briefly cover tailwinds supporting the investment

• Slides 11-15 (Financials): 8-10 min

  • Walk through valuation, returns, and financial impact
  • Be prepared for deep-dive questions here
  • Show sensitivity and downside scenarios

• Slides 16-18 (Synergies): 5-6 min

  • Detail how value will be created
  • Be specific about sources and timelines
  • Address integration complexity head-on

• Slides 19-20 (Integration): 3-4 min

  • Show you have a detailed plan
  • Highlight governance and resources

• Slides 21-22 (Risks): 4-5 min

  • Don't shy away from risks
  • Show thoughtful mitigations
  • Demonstrate downside is still acceptable

• Slide 23 (Recommendation): 2 min

  • Restate the ask clearly
  • Summarize key reasons to approve
  • Outline next steps

Total Presentation: 35-45 minutes + 15-30 min Q&A

Delivery Best Practices

✓ Start strong: Open with clear recommendation and executive summary
✓ Tell a story: Connect strategic rationale → financial returns → value creation
✓ Use data: Specific numbers, not hand-waving
✓ Be balanced: Acknowledge risks, don't oversell
✓ Show conviction: Clearly state recommendation and stand behind it
✓ Anticipate questions: Have answers ready (practice Q&A)
✓ Respect time: Stay on schedule, use appendix for detail
✓ Visual clarity: Use charts/graphs, minimize text

✗ Avoid:

• Reading slides verbatim
• Too much detail in main deck (use appendix)
• Hedging on recommendation
• Defensive tone when discussing risks
• Ignoring feedback or questions
• Going over time limit

Handling Q&A

Most Common IC Questions

Strategic Questions

1. "Why can't we build this ourselves?"

   • Answer: Time, cost, and risk analysis. "Would take 3+ years, $100M+, uncertain competitive positioning vs. proven acquisition."

2. "What if Competitor X acquires the target instead?"

   • Answer: Competitive dynamics. "That would strengthen their position significantly and close our strategic gap. We view this as partially defensive."

3. "Are there alternative targets?"

   • Answer: Alternative analysis. "We evaluated Target B and Target C. Here's why this target is superior [show comparison table]."

4. "How does this fit with our existing portfolio?"

   • Answer: Portfolio strategy. "Complements Product X, fills gap in our end-to-end offering, enables us to compete for larger enterprise contracts."

Financial Questions

5. "What's driving the IRR - is it realistic?"

   • Answer: Returns decomposition. "IRR is driven by: (1) $120M in cost synergies (high confidence), (2) Standalone growth at conservative 20% (vs. 25% historical), (3) Exit multiple of 3.5x (in line with today's entry)."

6. "Why are we paying a premium to comps?"

   • Answer: Valuation justification. "15% premium is justified by: (1) Superior growth (30% vs. 20% peer median), (2) Higher margins (27% vs. 22%), (3) Strategic value ($150M synergies)."

7. "What if synergies are only 50% realized?"

   • Answer: Downside scenario. "We modeled this - IRR drops from 18.5% to 14.2%, still above hurdle. NPV remains positive at $60M."

8. "Is this EPS accretive or dilutive?"

   • Answer: EPS impact. "3% dilutive in Year 1 (integration costs), 8% accretive in Year 2 as synergies ramp, 15%+ accretive Year 3+."

Risk Questions

9. "What's the biggest risk to this deal?"

   • Answer: Risk prioritization. "Customer attrition. Mitigations: retention bonuses for account teams, early customer communications, executive customer calls. We've stress-tested 20% customer loss - deal still works."

10. "Can we successfully integrate this?"

    • Answer: Integration confidence. "We have: (1) Dedicated VP Integration and 5-person IMO, (2) Detailed 100-day plan, (3) External support from [Consulting Firm], (4) Prior success integrating [Previous Deal]."

11. "What if key employees leave?"

    • Answer: Talent retention plan. "We've identified 50 critical employees, offering retention packages (50-100% bonus, equity grants). VP Engineering, CTO, VP Product already committed to 2-year retention agreements."

Execution Questions

12. "What's the regulatory approval timeline?"

    • Answer: Regulatory path. "HSR filing required, 30-day review (standard clearance expected). No antitrust concerns (combined <30% share). European approval not required. 90-day timeline to close."

13. "How confident are we in the synergy numbers?"

    • Answer: Synergy validation. "High confidence in cost synergies ($120M) - bottoms-up analysis with functional leaders. Conservative on revenue synergies ($30M vs. $80M theoretical) - not required for deal approval."

14. "Who's running integration?"

    • Answer: Integration leadership. "[Name], currently VP Operations, proven track record integrating [Previous Deal] ($50M synergies delivered). Dedicated 100% for Year 1 with IMO team."

Alternative Uses of Capital

15. "Why is this better than a buyback or dividend?"
    • Answer: Capital allocation. "18.5% IRR vs. ~8-10% implied return on buyback at current valuation. Creates strategic capabilities we can't achieve through capital return. We can still maintain progressive dividend policy."

Q&A Response Framework

STAR Method

• Situation: Context for the question
• Task: What needs to be addressed
• Action: What we're doing/have done
• Result: Expected outcome

Example:

Q: "What if we lose the top 10 customers post-acquisition?"

A (STAR):

• Situation: "Top 10 customers represent 35% of target revenue, so retention is critical."
• Task: "We need to ensure these relationships are protected during integration."
• Action: "We've created a plan: (1) CEO will personally call each within 24 hours of announcement, (2) Dedicated account teams remain unchanged for 12 months, (3) Product roadmap commitments honored, (4) Retention bonuses for account execs."
• Result: "Based on our prior acquisition of [X], we retained 95% of top customers using this approach. We've also stress-tested 20% revenue loss - deal still delivers 14% IRR."

IC Presentation Checklist

Content Checklist

• Executive summary clearly states recommendation and key metrics
• Strategic rationale connects to corporate priorities
• Why this target articulated vs. alternatives
• Market opportunity sized and validated
• Financial returns show IRR, NPV, payback, and EPS impact
• Valuation benchmarked against multiple methodologies
• Sensitivity analysis shows range of outcomes
• Downside scenario demonstrates acceptable risk
• Synergies detailed by source with ownership
• Integration plan outlines 100-day plan and governance
• Risk assessment identifies top risks with mitigations
• Financing plan includes sources/uses and credit impact
• Recommendation is clear and actionable
• Appendix has detailed backup for all analyses

Preparation Checklist

• Pre-wired with CFO, CEO, and key IC members
• Incorporated feedback from pre-wires into deck
• Prepared Q&A document with 50+ questions
• Practiced presentation (timed, under 45 min)
• Identified potential objections and prepared responses
• Financial model reviewed by CFO and finance team
• Legal review of transaction structure complete
• Deck sent to IC 24+ hours in advance
• Backup materials ready (detailed model, comps, etc.)
• Attendee list confirmed

Delivery Checklist

• Start with clear recommendation
• Tell compelling strategic story
• Use visuals effectively (charts, not walls of text)
• Stay on time (respect the agenda)
• Acknowledge risks honestly
• Demonstrate conviction in recommendation
• Answer questions directly and confidently
• Use appendix for detailed answers
• Summarize next steps if approved
• Follow up with action items and timeline

Example IC Presentation Outline

Key Takeaways

1. IC presentation is a story, not just data - connect strategic rationale to financial returns to value creation
2. Executive summary is critical - must stand alone as one-page deal overview
3. Pre-wiring matters - never present cold, build consensus before formal meeting
4. Be balanced - acknowledge risks honestly, show you've thought through mitigations
5. Downside must be acceptable - show even pessimistic scenario delivers acceptable returns
6. Synergies need detail - source-by-source build-up with ownership and timelines
7. Clear recommendation - don't hedge, state what you're asking for and why
8. Prepare for Q&A - anticipate 50+ questions, practice responses
9. Use appendix - keep main deck concise, use backup for detail
10. Visual > text - charts and graphs, not walls of bullets

Related Resources

• Deal Thesis Overview - Building the complete deal thesis
• Strategic Rationale - Articulating strategic logic
• Business Case Development - Financial justification and ROI
• Value Creation Planning - Synergy identification and capture
• M&A Negotiation Strategies - Getting to agreed terms