M&A Due Diligence

Threat Guru helps organizations evaluate risk throughout the merger and acquisition process. Our services draw on our knowledge of the cyber risk landscape, our experience auditing and assessing cyber capabilities and underlying technologies, and our extensive expertise evaluating security programs.
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Merger and acquisition support

With today’s ever-evolving threat landscape, cyber risk has become a matter of corporate governance. M&A deals must complete rigorous due diligence to uncover and remediate cyber risk concerns of their merger/acquisition targets. Cyber risks are not just technology problems. They have legal, financial, operational, and board governance implications. Cyber risks are real and present dangers to business operations, profits, and for some, continued viability. Today’s corporate leaders have a fiduciary responsibility to understand and manage cyber risks.

Why choose R3 for your M&A due diligence support?

Technology Enabled Approach during the whole process
Our approach to M&A support, due diligence and post integration enables organizations to enable visibility on the technology.
Our technology focused approach is yielding truly actionable insights based on cybersecurity professional services specialized.
Our methodology considers fast-paced, high pressure situations where you have to make decisions based on partial availability and/or reliability of information.

We provide services to cover the full lifecycle of a deal, from pre-assessment, due diligence, transition, post-deal integration.

Comprehensive services

Our approach

Our M&A services evaluate an organization’s cyber security posture through:

01

Technical testing

from internal and external perspectives to gather objective evidence of security program effectiveness

02

Assessments

that rate the maturity of an organization’s cybersecurity controls, across multiple dimensions

03

Evaluating

  • Risk management approach
  • Security organization
  • Compliance and assurance programs
  • Security technology
  • Third-party risk management
  • Incident response planning and
    management
  • Governance model, including risk transfer policies
  • Insider threat management
  • Threat and vulnerability management

04

Advice

We produce insights and recommendations that highlight weaknesses and potential remediation plans and costs.

Results R3 Delivers

Know whether an organization deserves your trust in the cyberspace.

The Cybersecurity Due Diligence summary report consist timely and truly actionable insights such as:

  • The Security Score & Critical Risk Dimensions
  • Short Executive Briefing & Key Insights
  • Individual chapters of technology assessment activities
  • Security Improvement Roadmap

Want to learn more?

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Threat Guru

Cybersecurity due diligence for M&A transactions























Threat Guru B.V.


Kennemerplein 6-14

2011 MJ Haarlem

The Netherlands


KvK / CoC: 94198616 

BTW / VAT: NL866676711B01


Tel: +31 615 24 76 86

Email: zsolt@threat.guru

Web: https://threat.guru


Protect your investment

Expert cybersecurity due diligence for M&A Success


// Mitigate risks, Secure Transactions, and ensure Seamless Integration


[An image of two business professionals shaking hands with a digital shield and lock overlay, symbolizing secure and protected transactions.]



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Why Cybersecurity is so important?

Cybersecurity plays a pivotal role in the success of mergers and acquisitions, and here’s why:

1. Avoid Buying Into a Breach

No one wants to inherit a cybersecurity breach along with their new acquisition. A breach can lead to significant financial losses, brand damage, and a drastic reduction in the deal’s or enterprise’s value. Proper cybersecurity due diligence ensures that you aren’t buying into a problem that could erode the benefits of the acquisition.

2. Protect Against Ransomware and Availability Issues

Ransomware attacks and other cyber threats can severely undermine the strategic investment thesis of an acquisition. If critical systems are compromised or taken offline, the operational and financial impacts can be devastating, potentially jeopardizing the entire deal. Cybersecurity assessments help identify and mitigate these risks before they become costly problems.

3. Prevent Unwelcome Surprises

Nobody likes surprises, especially when they could involve hidden cybersecurity issues or information that remain undiscovered until it’s too late – including the day before signing the deal. These surprises can lead to unexpected costs, compliance issues, and operational disruptions. Thorough cybersecurity due diligence is essential to uncover potential risks and ensure there are no hidden liabilities.

M&A Is A Prime Target for Attackers

M&A transactions are particularly attractive to cyber attackers because they are highly visible, involve large amounts of capital, and represent a point of change—when companies are often at their most vulnerable. Attackers, ranging from state-sponsored actors to financially motivated cybercriminals and even insiders, are keenly interested in exploiting these opportunities.

By prioritizing cybersecurity in M&A transactions, you not only protect your investment but also ensure a smoother integration process, safeguarding both the financial and strategic value of the deal.

The Role of Cybersecurity in M&A Transactions

In the fast-paced world of mergers and acquisitions, overlooking cybersecurity can have devastating consequences. Cyber threats not only jeopardize the deal but can also severely impact the valuation and success of the acquisition. Threat Guru provides specialized cybersecurity due diligence to identify and mitigate these risks, ensuring your investment is well-protected.

Key Pain Points Addressed

Past Data Breaches

Understanding the history of security incidents in the target company.

Spear Phishing preparedness

Ensuring the company is equipped to defend against sophisticated phishing attacks.


Deal Security

Safeguarding the confidentiality and integrity of the M&A process.


Ransomware Risk

Assessing the likelihood and impact of ransomware attacks.

Integration Challenges

Identifying potential cybersecurity pain points in post-acquisition integration.

Critical Risk Dimensions

Evaluating key areas of cyber risk that could affect the deal.

OSINT & Corporate Intelligence

Using Open Source Intelligence and background checks to uncover publicly available information that could expose vulnerabilities.

Our Comprehensive Cybersecurity Due Diligence Approach


Historical Breach Assessment

We conduct a thorough review of any past data breaches in the target company, analyzing the nature of the breaches, how they were handled, and the potential ongoing risks.

Spear Phishing Defense

Our experts assess the target company’s preparedness for spear phishing attacks, offering recommendations to strengthen defenses against these highly targeted threats.

Securing the Deal Process

We ensure that the entire deal-making process is secure, implementing best practices to protect against data leaks, unauthorized access, and other cyber threats that could compromise the deal.

Ransomware Exposure Assessment

We evaluate the target company’s vulnerability to ransomware attacks, assessing both their current security posture and the potential impact of an attack on the business.

Integration Risk Analysis

Our team identifies potential cybersecurity challenges that could arise during the integration of the acquired company’s systems with yours, ensuring a smooth and secure transition.

Critical Risk Dimensions

We provide a comprehensive assessment of key cybersecurity risk dimensions, such as network security, data protection, and regulatory compliance, to give you a clear picture of the risks involved.

OSINT and Corporate Intelligence

Using Open Source Intelligence and corporate background checks, we uncover publicly available information and perform deep-dive investigations that could reveal critical risks, such as potential reputational damage or exposure to cyber threats.

Advanced Cybersecurity Due Diligence for Tech and Infrastructure Acquisitions

For tech and infrastructure-related acquisitions, it’s essential to go beyond basic cybersecurity checks. Threat Guru offers advanced assessments that dive deep into the technical aspects of the target company’s operations to ensure a secure and smooth transaction.



Source Code Analysis

AI Due Diligence

We conduct a thorough analysis of the target’s source code to identify vulnerabilities, security flaws, and potential backdoors that could pose risks post-acquisition.

With the increasing reliance on artificial intelligence, we evaluate the security, robustness, and ethical implications of AI systems used by the target company. This includes assessing the risk of AI-related vulnerabilities and biases that could impact business operations.

Technical Security Assessments

Interviews with Key Personnel

Our team performs in-depth technical security assessments, including penetration testing and architecture reviews, to identify weaknesses in the target’s cybersecurity infrastructure.

We conduct interviews with the target company’s technical and security teams to assess their cybersecurity governance, incident management practices, and overall security culture.


Key Risk Dimensions Assessed


Organizational Security

Evaluating the overall security posture of the organization.

Governance and Risk Management Practices

Assessing the effectiveness of the target’s cybersecurity governance and risk management frameworks.

Incident and Vulnerability Management

Reviewing how the target manages and responds to security incidents and vulnerabilities.

Security Infrastructure Technology

Evaluating the robustness and modernity of the target’s security technologies and infrastructure.

Training and Awareness

Assessing the effectiveness of the target’s staff training and awareness programs on cybersecurity.

Platform Security

Ensuring that the target’s platforms are secure, scalable, and resilient against cyber threats.

Third-Party and Supply Chain Cybersecurity Risk

Identifying risks associated with the target’s third-party vendors and supply chain, which could introduce vulnerabilities.


Our Specialties

Every deal is unique, and when it comes to assessing technology, the complexities can be overwhelming. That’s where we come in. At Threat Guru, we understand that no two transactions are alike, and the technological landscape can present significant challenges.


Whether it’s evaluating software systems, assessing AI integrity, or identifying hidden cybersecurity risks, we tailor our approach to meet the specific needs of your deal. 


Our expertise ensures that no matter how complex the technology, we have you covered, providing the insights you need to make informed, confident decisions.

Above all, we offer a wide spectrum of cyber capabilities tailored to meet the diverse needs of tech-related mergers and acquisitions, including but not limited to:

  • Cryptocurrency Technologies: Evaluation of blockchain infrastructure, security protocols, and compliance with relevant regulations to ensure the integrity of digital assets and transactions.

  • AI/Machine Learning Solutions: In-depth analysis of AI/ML models, algorithms, and data governance to identify vulnerabilities, biases, and risks that could impact the value and functionality of these technologies.

  • Hardware and IoT Analysis: Comprehensive assessment of embedded systems, IoT devices, and hardware components to uncover security vulnerabilities, potential points of failure, and integration challenges.

  • PCI-DSS Assessment: Specialized audits to ensure that payment card processing systems comply with PCI-DSS standards, protecting against data breaches and financial fraud.

  • Radio Frequency Assessments: Examination of RF technologies, including wireless communication systems and IoT networks, to identify potential security threats and ensure robust signal integrity.

  • Physical Security Assessments: Evaluation of physical security measures, including access control systems, surveillance, and environmental controls, to protect critical infrastructure and sensitive information from physical breaches.

  • Cloud Infrastructure Security: Assessment of cloud architecture, security policies, and data protection measures to ensure the safety and compliance of cloud-based systems and applications.

  • Application Security Testing: Penetration testing and code review to identify vulnerabilities in software applications, ensuring they are secure and resilient against cyber threats.

  • Network Security Assessments: Detailed analysis of network architecture, including firewalls, intrusion detection systems, and VPNs, to safeguard against unauthorized access and data breaches.

  • Third-Party and Supply Chain Cybersecurity Risk: Evaluation of the cybersecurity practices of third-party vendors and supply chain partners to prevent vulnerabilities from external sources.

  • Compliance and Regulatory Assessments: Ensuring that all technology and cybersecurity practices comply with relevant industry regulations, such as GDPR, HIPAA, and SOX, reducing the risk of legal penalties and reputational damage.

By leveraging these specialized capabilities, we provide comprehensive due diligence that addresses the full spectrum of technological risks, enabling you to make informed decisions and secure successful M&A transactions.

Case studies

Case Study 1: Safeguarding a Tech Unicorn Acquisition with AI and Source Code Analysis


Client

A leading global technology conglomerate

Challenge

The client was acquiring a fast-growing AI-driven tech unicorn. The target company had proprietary AI algorithms at the core of its business, but there were concerns about the security and integrity of the AI models and underlying source code.

Solution

Threat Guru conducted an in-depth source code analysis and AI due diligence, identifying vulnerabilities in the AI algorithms that could have been exploited, leading to potential data leaks and algorithmic biases. Additionally, we uncovered inconsistencies in the coding practices that could have resulted in operational inefficiencies post-acquisition

Outcome

Armed with our insights, the client was able to negotiate better terms for the acquisition, including provisions for remediating the identified issues before finalizing the deal. Post-acquisition, our roadmap guided the integration team in securing the AI infrastructure, ensuring a seamless transition with enhanced security and efficiency.


Case Study 2: Identifying and Mitigating Cyber Risks in a Cryptocurrency Platform Acquisition


Client

A financial services firm expanding into digital assets

Challenge

The client aimed to acquire a cryptocurrency exchange platform but was concerned about the security of the blockchain technology and the platform’s compliance with evolving regulations.

Solution

We performed a comprehensive assessment of the platform’s blockchain infrastructure, focusing on the security of smart contracts, wallet integrity, and transaction processes. Additionally, our team evaluated the platform’s compliance with relevant financial regulations, identifying areas where the platform was at risk of regulatory non-compliance.

Outcome

Our assessment revealed critical vulnerabilities in the wallet systems and highlighted gaps in regulatory compliance. The client used this information to renegotiate the deal, securing a lower purchase price and an agreement for the target company to address these issues pre-acquisition. The client also implemented our recommended security enhancements, resulting in a more robust and compliant platform post-acquisition.


Case Study 3: Enhancing Security Posture in an IoT Hardware Acquisition


Client

A multinational consumer electronics company

Challenge

The client planned to acquire a startup specializing in IoT devices. However, there were concerns about the security of the IoT hardware and the potential for vulnerabilities that could compromise user data.

Solution

Threat Guru conducted a detailed hardware and IoT analysis, examining the security of the devices, firmware integrity, and potential backdoors. We also assessed the startup’s physical security measures and supply chain vulnerabilities.

Outcome

Our analysis identified several critical vulnerabilities in the IoT firmware that could have been exploited to access user data. We provided a roadmap for securing the IoT devices, which the client implemented post-acquisition. This proactive approach not only enhanced the security of the products but also positioned the client as a leader in IoT security, boosting customer confidence and market share.


Case Study 4: Securing a Cloud-Based Service Provider Acquisition with Network and Application Security Assessments


Client

A major cloud services provider

Challenge

The client was interested in acquiring a cloud-based service provider but needed to ensure the target’s network and application security were robust enough to protect sensitive customer data.

Solution

Our team performed extensive network security assessments, including penetration testing and a thorough review of the cloud architecture. We also conducted application security testing to identify vulnerabilities within the target’s software applications.

Outcome

The assessments uncovered several network vulnerabilities and application security flaws that posed significant risks to data protection. The client was able to address these issues immediately, integrating our recommendations into the post-acquisition strategy. This proactive approach not only safeguarded customer data but also strengthened the client’s reputation as a secure and reliable cloud service provider, ultimately leading to increased customer retention and new business opportunities.


These case studies demonstrate how [Your Company Name] helps clients navigate the complexities of technology and cybersecurity in M&A transactions, ensuring successful outcomes through comprehensive due diligence and expert guidance.

How We Work During an Engagement

At [Your Company Name], we approach each engagement with a tailored, systematic process designed to deliver comprehensive and actionable cybersecurity insights. Here’s how we work to ensure that your M&A transaction is secure and successful:

1. Initial Consultation and Scope Definition

We begin every engagement with a detailed consultation to understand your specific needs and concerns. Together, we define the scope of the cybersecurity due diligence, ensuring that our assessments align with your strategic objectives, risk tolerance and investment thesis.

2. Comprehensive Cybersecurity Assessment

Our team conducts a thorough cybersecurity assessment of the target company, covering all critical areas such as past data breaches, vulnerability analysis, technical infrastructure, governance practices, and third-party risks. We utilize advanced tools and techniques, including source code analysis, network and application security assessments, and OSINT investigations, to uncover potential threats.

3. Real-Time Insights and Updates

Throughout the engagement, we provide you with instant notifications of any relevant findings that could impact the deal. We believe that cybersecurity should be an enabler, not a blocker, allowing you to make informed decisions in real time. Our continuous communication ensures you stay updated on critical issues as they are identified.

4. Collaborative Approach with Stakeholders

We work closely with your internal teams, including IT, legal, and finance, as well as external advisors, to ensure a holistic approach to cybersecurity due diligence. Our collaborative process fosters alignment on key security objectives and ensures that all stakeholders are informed and engaged throughout the transaction.

5. Delivery of the Cyber Due Diligence Report

Upon completing our assessments, we deliver a detailed Cyber Due Diligence (CDD) report. This report includes a key scorecard, a summary of critical findings, insights into potential deal breakers, and recommendations for addressing identified risks. We also provide a disclaimer on areas not covered, giving you the option to extend the due diligence if needed.

6. Post-Engagement Support and Actionable Roadmap

Our engagement doesn’t end with the report. We offer post-deal support, including the development of an actionable roadmap with short-, medium-, and long-term recommendations to improve the target’s security posture. Whether it’s implementing immediate fixes or planning for future enhancements, we guide you every step of the way to secure your investment.

7. Ongoing Monitoring and Management

For continued success post-acquisition, we offer ongoing monitoring services, including vCISO (Virtual Chief Information Security Officer) support, regular technical assessments, and security awareness training. Our goal is to help you maintain a robust cybersecurity framework that evolves with your organization’s needs.

By engaging with Threat Guru, you gain a partner dedicated to safeguarding your M&A transactions through expert cybersecurity insights and proactive, hands-on support throughout the entire process.

What Will You Get? – The Results

When you engage with Threat Guru for cybersecurity due diligence (CDD) in your M&A transactions, you will receive a comprehensive package of deliverables designed to provide you with actionable insights and clear guidance throughout the deal-making process.

1. Cyber Due Diligence (CDD) Report

Our detailed CDD Report is the cornerstone of our deliverables, providing a thorough analysis of the target company’s cybersecurity posture. The report covers all critical areas, including past breaches, vulnerability assessments, governance practices, and more, giving you a complete understanding of the target’s cyber resilience.

2. Instant Notifications

Throughout the due diligence process, you will receive instant notifications on every relevant insight that could impact the deal. We believe that cybersecurity is not a blocker but an enabler, allowing you to make informed decisions in real time. As new risks or opportunities arise, you will be immediately informed to adjust your strategy an tactics accordingly.

3. Disclaimer on Uncovered Areas

Transparency is key. Alongside our findings, we provide a clear disclaimer of what was not covered in the initial scope but may still affect the deal. This allows you to continue with extended due diligence if the process permits, ensuring no stone is left unturned.

4. Key Scorecard

Our scorecard provides a quick reference guide to the overall cybersecurity health of the target. It indicates:

  • Necessary Cyber Fixes: If there are critical issues that need to be remediated before proceeding with the deal.

  • Potential Dealbreakers: Highlighting any cybersecurity issues that could potentially derail the deal or significantly impact its valuation.

  • Valuation Factors: Identifying factors related to cybersecurity that might influence the deal’s value.

5. Summary of Insights

We distill our findings into a dozen key insights, each summarized in two lines. These insights are designed to empower you with the right questions to ask about the target’s cyber resilience, enabling you to probe deeper where necessary and make informed decisions.

6. Critical Risk Dimensions

Our report includes an assessment of the critical risk dimensions that require your attention. This section prepares you to focus on areas that could pose significant risks post-acquisition, such as organizational security, third-party risks, and platform vulnerabilities.

7. Key Findings Across Cyber Areas

Receive a concise summary of key findings across all areas of cybersecurity, including governance, risk management, incident response, and more. These findings highlight areas of strength and weakness, so you know exactly where to direct your attention and resources.

8. Actionable Roadmap

We provide a roadmap with recommendations for short-, medium-, and long-term actions to enhance the target’s security posture. This roadmap is designed to help you immediately take steps to mitigate risks, integrate the target securely, and build a stronger, more resilient organization post-acquisition.


With Threat Guru, you gain more than just a report—you gain a partner who provides continuous support, actionable insights, and the tools you need to secure your investment and drive a successful transaction.


Post-deal services secure the future of your acquisition

When the love for the target company has reached a crescendo in the signing of the deal, the real work begins. Don’t get it wrong – IT integration is complex, complicated, and challenging. This is where our services truly excel. The groundwork laid during the due diligence phase forms the foundation for the real success in securing the enterprise value of your acquisition. 


At Threat Guru, we offer comprehensive post-deal cybersecurity services designed to ensure that your investment remains secure and that your newly acquired company thrives in a safe and resilient environment.


1. Defining Key Security Objectives

Post-acquisition, one of the first steps is to define and align key security objectives with management. Executive commitment and education are crucial for cybersecurity success. We assist in the redevelopment of security processes and provide quarterly management updates on cybersecurity to keep leadership informed and engaged.

2. Tailored Awareness Training

Our microlearning-based cybersecurity awareness training is designed to be effective and engaging. Tailored to your organization’s specific needs, these trainings have proven successful in combating many cyber threats, ensuring that your employees are your first line of defense.

3. Regular Technical Security Assessments

Ongoing technical security assessments are critical in identifying and mitigating vulnerabilities. We focus on vulnerability management and resolving technical issues to strengthen your cybersecurity posture continually.

4. Practical Access Control Measures

Implementing and regularly reviewing access control is a simple yet powerful way to prevent cyber disasters. This cost-effective measure ensures that only authorized individuals have access to sensitive systems and data.

5. Cyber Preparedness for HR and Finance

HR and Finance are often targeted by cybercriminals. We prepare these departments to recognize and respond to threats, sharing insights and stories that illustrate the importance of cybersecurity in these critical areas.

6. Securing Office Activities and Endpoints

We provide comprehensive security solutions for office environments, ensuring that laptops, computers, and other endpoints are protected from cyber threats. This is key to maintaining a secure and productive workplace.

7. Security Monitoring and Incident Management

Establishing robust security monitoring, incident response, and threat management practices is essential for maintaining a strong cybersecurity posture. We help you build and maintain these systems to quickly identify and respond to potential threats.

8. Physical Security

Physical security should not be overlooked. We assist in monitoring entry systems and implementing physical security measures to protect against real-world threats that can compromise your organization’s cybersecurity.

9. Domain and Brand Protection

Protecting your domain, brand, social media presence, and email marketing efforts from cyber threats is essential. We specialize in securing these digital assets to prevent threat actors from stealing your hard-earned crown jewels.

10. Cloud Infrastructure and CI/CD Pipeline Security

Securing cloud infrastructure and ensuring the security of CI/CD pipelines in software development are challenging tasks. We help you navigate these complexities to develop secure software and maintain a resilient cloud environment.

11. Third-Party Supply Chain Security

Modern organizations often work with more third parties than they have employees. Managing third-party and supply chain security is difficult, but we are here to help you handle it effectively, ensuring that your partners do not become a weak link in your cybersecurity defenses.



At Threat Guru, our post-deal services are designed to help you achieve integration success. By building on the groundwork laid during due diligence, following a narrow path of successful decisions we ensure that your acquisition is protected, your investment is secure, and your organization is prepared to face any cyber threats that may arise. Let us help you with the complexities of IT integration and secure the future of your newly acquired company.

Secure your next M&A deal with confidence

Contact Us

Ready to safeguard your M&A transactions? Contact Threat Guru for a detailed consultation and discover how our cybersecurity due diligence services can protect your investment.


Phone: +31 615 24 76 86

Email: zsolt@threat.guru

Website: https://threat.guru


Don’t let cybersecurity risks derail your deal. Partner with Threat Guru for comprehensive due diligence that ensure success.


[A professional image of your team or a secure digital lock symbol, reinforcing the message of protection, security, and trust.]