Any cyber-attack can do significant operational, financial and reputational damage to an organisation. Of the various types of cyber-attacks, ransomware is increasingly favoured by cyber criminals who seek financial gain through digital extortion. The annual number of ransomware attacks worldwide increased nearly twofold from c.300 million attacks in 2020 to c.600 million attacks in 2021.
In this article we examine what investment teams, operating partners and corporate M&A teams need know concerning ransomware on both buy and sell sides of a transaction. We cover some essentials regarding cyber incident reporting requirements in the UK and Europe and we offer recommendations on how to navigate ransomware related risk that will invariably be encountered during the M&A process.
We hope you enjoy the read, and would welcome the opportunity to discuss how we may help you and your teams navigate ransomware in your transactions.