Posts Tagged ‘Cochlear’

Hear, hear Mr Cochlear

April 15, 2010

A nice quote from Cochlear CEO, Dr. Chris Roberts yesterday:

“Growth by acquisition is a tough gig. More companies die from indigestion than starvation.”

Pretty much sums up what I was teaching in class this week about diversification and M&A. Firms need to avoid the synergy bias and think very carefully before taking on the task of extracting more benefits than costs from takeovers.