Do Companies Undergoing a Merger or Acquisition Get Targeted for Attacks?
Jul 18, 2024
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Andrew Cannata, CISO at Primo Water, joins the discussion on M&A cybersecurity risks. Topics include IPO vulnerability, context changes in M&A, and ambiguity's impact on risk. The importance of cybersecurity diligence and employee awareness during mergers highlighted. Emphasizes security controls, challenges in merging cultures, and data protection. Explores post-merger changes in security programs, privacy, and attacker tactics. The significance of maintaining strong cybersecurity measures during organizational changes like mergers to avoid cyber threats.
M&A transitions create temporary security vulnerabilities, leading to increased cyber risk.
Integrating and aligning security postures after M&A is crucial to mitigate risks effectively.
Deep dives
The Impact of Mergers and Acquisitions on Cyber Risk
During mergers and acquisitions, the risk of cyberattacks may not directly result from the action itself but rather from the integration of systems and increased vulnerabilities. Anecdotal evidence suggests that cyberattacks may be more related to the integration challenges and temporary security gaps following the merger or acquisition.
Cybersecurity Challenges During Mergers and Acquisitions
The discussion highlighted conflicting accounts regarding the impact of M&A, with some instances where using M&A as a lure increased click rates significantly, while others saw no measurable uptick in attacks. The discrepancies in experiences underscore the need for a comprehensive approach to cybersecurity due diligence during M&A transactions.
Managing Security Posture During Mergers and Acquisitions
Mergers and acquisitions often lead to a reevaluation of security postures, with organizations inheriting varying levels of security controls and maturity. The process involves integrating the acquired entity's controls with existing security measures to address vulnerabilities and mitigate risks effectively. It is crucial to conduct real-time monitoring, vulnerability management, and prioritize cybersecurity controls from the outset to ensure a secure transition.
The Perfect Storm of Cyber Risk Amid Mergers and Acquisitions
During M&A activities, the convergence of factors such as human error, insider threats, integrating systems, compliance, and third-party risk management creates a 'perfect storm' for cyber attackers. The inherent distractions and changes in organizational dynamics offer malicious actors opportunities to exploit vulnerabilities and infiltrate various business areas. Vigilance, timely risk identification, and robust security controls are essential to mitigate cyber threats during transitions.
Does an IPO make you a target or just more vulnerable?
M&A changes your context
Ambiguity creates risk
Thanks to our podcast sponsor, Cyera
Cyera’s AI-powered data security platform gives companies visibility over their sensitive data, context over the risk it represents, and actionable, prioritized remediation guidance. As a cloud-native, agentless platform, Cyera provides holistic data security coverage across SaaS, PaaS, IaaS and On-premise environments. Visit www.cyera.io to learn more.
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