Tom Cockriel, co-leader of Trenam Law’s Business Transactions practice group, authored an article for Cyber Defense Magazine discussing cybersecurity due diligence in M&A transactions.
The first step should involve assessing the target company’s security framework including compliance standards, incident response plans, security infrastructure, vulnerability management, third-party risk management, penetration testing and audits and cyber insurance coverage.
Additionally, Cockriel emphasized the importance of appropriate data management policies for accessing and storing data, as well as appropriately classifying and backing it up. He also highlighted the role emerging technology plays in cybersecurity risk as well as the risk brought by human factors.
“By prioritizing cybersecurity due diligence, M&A stakeholders can transform cybersecurity risks into strategic advantages, better positioning themselves for a more secure target company and successful acquisition while minimizing potential post-closing issues,” Cockriel stated.
To view the full article, you may click here.
