Leveraging Machine Learning Techniques for Predictive Analysis in Merger and Acquisition (M&A)

Abstract

M&A is a strategic concept of business growth through consolidation, gaining market access, increasing strategic positions, and increasing operational efficiency. To understand the dynamics of M&A, this paper looks at aspects such as targeted firm identification, evaluation, bidding for the target firm, and post-acquisition integration. All forms of M&A, including horizontal, vertical, conglomerate, and acquisitions, are discussed in terms of goals and values, including synergy, cost reduction, competitive advantages, and access to better technology. However, issues such as cultural assimilation, adhesion to regulations, and calculating an inaccurate value are also resolved. The paper then goes deeper to provide insight into how predictive analytics applies to M&A, using ML to improve decision-making with forecasting benefits. Including healthcare, education, and construction industries, the presented predictive models using regression analysis, neural networks, and ensemble techniques help to make decisions. Through time series and real-time data, PDA enables sound M&A strategies, effective risk management and smooth integration.