The normal or skewed distributions of the stats quoted in the article isn’t surprising or enlightening. AIG’s selection of banding of the ranges for the stats may be the problem. Sizes of the companies involved in the M&As might be segmented into two or three more homogeneous groups.
What is somewhat surprising to someone who has been involved in M&A analyses is the increased frequency of use of this ‘insurance’ product which seems to generate indifference to performing analyses with true due diligence rather than ‘deaf, dumb, and blind diligence’ combined with R&W insurance.
Perhaps the speed at which recent M&As are consummated are the culprit for the rise in frequency of R&W claims? Haste makes waste. The availability of R&W insurance, perhaps cheaply, should signal to CEOs they should consider ‘proper diligence’ as a replacement process rather than use could-be-duped diligence and an R&W cover?
So Polar, who would trust any study conduct for the now infamous AIG on any insurance question? They are the poster children for shady deals and they keep losing money from poor leadership.
The normal or skewed distributions of the stats quoted in the article isn’t surprising or enlightening. AIG’s selection of banding of the ranges for the stats may be the problem. Sizes of the companies involved in the M&As might be segmented into two or three more homogeneous groups.
What is somewhat surprising to someone who has been involved in M&A analyses is the increased frequency of use of this ‘insurance’ product which seems to generate indifference to performing analyses with true due diligence rather than ‘deaf, dumb, and blind diligence’ combined with R&W insurance.
Perhaps the speed at which recent M&As are consummated are the culprit for the rise in frequency of R&W claims? Haste makes waste. The availability of R&W insurance, perhaps cheaply, should signal to CEOs they should consider ‘proper diligence’ as a replacement process rather than use could-be-duped diligence and an R&W cover?
So Polar, who would trust any study conduct for the now infamous AIG on any insurance question? They are the poster children for shady deals and they keep losing money from poor leadership.