What happens after a company gets acquired?
Will they replace managing directors, CEOs etc ? What other things may happen?
I have heard that some small company buyouts are aquihires and so the workers survive or even prosper. However, based on my experience in the computer and pharma business, filling out forms, learning about unemployment and moving have been what happens. If I had to guess when faced with a new purchase, I’d say the owners do well (or at least ok), the head shed does ok, the rest of management gets it in the neck and the workers move on to other opportunities.
If I can pass one lesson to readers, don’t purchase a house of any kind unless you can change jobs easily without moving. Having a 2hr commute isn’t “easily”.
In a 40+ year career, I’ve been on the acquired side 10-12 times depending on whether one considers LBOs as acquisitions. In some cases, it was a terrific experience, better benefits, etc. In three cases, it was a total disaster, lots of turnover, etc. In one case, the acquiring company offered some of us lateral moves to a new city but essentially treating us as new hires. Most of us said no. The last example, my position was eliminated and I was paid to retire early. Bottom line, as other have noted, it’s always different. Depending on your position, keep your head down, stay engaged, and do the best job you can. And expect chaos and frustration.
Anything can happen depending on what the new owners want to do. They might leave you 100% as you are. They might shut you down and fire everyone. They might replace your executive leaders, all at once or slowly. They might have you work on something completely new. They might move you over to work on projects in their company. The list goes on and on.
It depends why they bought you and how competent your company is.
Has the Acquirer made known their intentions?
From your leadership teams POV does this look like a good strategic match?
There are numerous scenarios—
The Acquirer might want just the IP, or Client Relationships, often they will want to retain key staff.
Good food for thought on Surviving M&A > https://hbr.org/2017/03/surviving-ma
Like everyone says, it varies greatly. The change can be fast, or it can be slow. The acquisition could be a nightmare or it could be intentionally thoughtful. It’s important to figure these things out before agreeing to be acquired.