Merging companies warned of 'Synergy Trap.' ('The Synergy Trap' author Mark L. Sirower)(Interview)

Mark L. Sirower, the author of 'The Synergy Trap,' a book that examines major acquisitions and mergers between 1979 and 1990, believes that many companies lose shareholder value after mergers because they fail to improve their performance. Sirower believes that many companies make bad merger decisions because they fail to understand that they must continue to adapt to changing business conditions.
Mergers have destroyed billions of dollars in shareholder value because acquirers failed to anticipate the need to improve performance after closing a deal. That's the premise of a new book [...]