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    Challenge

    Navigating M&A software licensing complexity.

    Mergers, acquisitions, and divestitures create unique software licensing challenges. Don't let hidden liabilities derail your transaction.

    The short answer

    Mergers, acquisitions, and divestitures create unique software licensing challenges. Don't let hidden liabilities derail your transaction.

    • Licenses often don't transfer automatically
    • Change of control can trigger contract renegotiation
    • Acquired compliance gaps become your liability
    • Divestitures require license separation planning
    Due Diligence Gap
    75%

    of M&A transactions don't include thorough software licensing due diligence, creating post-close surprises.

    Source: M&A Studies
    License Transfer Issues
    60%

    of software licenses have restrictions on transfer or change of control that affect M&A transactions.

    Source: Contract Analysis
    Hidden Liabilities
    $5M+

    average hidden licensing liability discovered post-transaction in organizations with compliance gaps.

    Source: Client Experience
    Understanding the Challenge

    Software Licensing in M&A Transactions

    M&A transactions dramatically change the software licensing landscape. Licenses may not transfer. Contract terms may change. New entities may lose favorable pricing. Compliance gaps in the acquired entity become your liability.

    These issues are often discovered too late—after the transaction closes and the opportunity to address them in the deal has passed. By then, you're stuck with unexpected costs, compliance exposure, and vendor leverage.

    Proactive due diligence and licensing strategy can identify and address these issues before they become expensive problems.

    Key Things to Know

    Licenses often don't transfer automatically
    Change of control can trigger contract renegotiation
    Acquired compliance gaps become your liability
    Divestitures require license separation planning
    Integration creates optimization opportunities
    Early engagement prevents post-close surprises
    Common Questions

    Frequently asked questions about maintaining software license compliance during M&A

    The bottom line

    Mergers, acquisitions, and divestitures create unique software licensing challenges. Don't let hidden liabilities derail your transaction. M&A transactions create both risks and opportunities. Let's ensure you're prepared for both.

    • LicenseFortress is an independent software licensing advocate — we never sell vendor licenses and take no vendor commissions.
    • $2.4B+ in vendor claims defended and $625M+ saved for clients.
    • Coverage across Oracle, Microsoft, IBM, SAP, VMware by Broadcom, and Adobe.
    • Licensing experts working alongside software contract attorneys.

    Don't let licensing derail your deal

    M&A transactions create both risks and opportunities. Let's ensure you're prepared for both.