End-to-end Technical Assessment for Risk-Free Acquisitions

Sphere’s Technical Due Diligence Service provides a comprehensive review of the tech infrastructure, processes and teams, revealing potential inefficiencies. security threats, and hidden costs that limit the growth of your business.

Request a Consultation

Why you need a tech partner for
a smooth M&A process

When acquiring or merging digitally-led companies or companies with complex tech infrastructure, buyers want to have an unbiased overview of what they are buying and how much it will cost them to operate, scale, or combine the business post-merger or acquisition. Each Technical Due Diligence by Sphere includes conducting a thorough analysis of the code base, infrastructure, and its architecture. 

We provide fact-based insights into the technical landscape of the business, helping it understand how well the target’s systems can integrate with the existing infrastructure. This analysis is essential for planning system integration and modernization efforts, ensuring that the acquired technology aligns with the buyer’s vision and expectations, facilitating informed decision-making for post-acquisition technology integration.

How technical due diligence shapes successful acquisitions

Technical Due Diligence is a critical step in the M&A process that provides in-depth insights into the technological aspects of a business’s technology operations and the state of its solution, helping investors and acquirers make informed decisions and plan effectively for your post-merger integration.

Reduce Operating Cost

Sphere’s TDD mitigates the risk of needing to hire and keeping a diverse range of technology experts in-house to reduce the future operating costs. It facilitates the planning the resources and the team capacity.
Mitigate Conflict Of Interest

We prevent the conflict of interests by being and independent player not related to your industry. Using an in-house team to do a TDD on a competitor poses a conflict of interest. Our team ensures proprietary information is not exposed to another party ahead of any acquisition completion.
Advanced IT Expertise

Lack of software engineering background and IT experience during internal assessment stages might cause deviations in the estimates. With an advanced expertise in software engineering, AI, Cloud, and design, we give you an unbiased view of the resourcing required to deliver on the product roadmap and deploy an infrastructure.

In the end, you get clear recommendations on priorities, dependencies, and all mitigation actions required to run the acquisition smoothly.

How does our technical due diligence process work?

We understand the frequently sensitive nature of technical due diligence assessments. Our team operates with promptness and strict confidentiality, with each completed TDD assessment typically taking 4 weeks or less to complete.

Understand the Investment Objectives

Identify the assessment’s objectives, key parameters, and intricates of the target company and its state and operations.

Establish Assessment Focus Areas

Based on your goals, our team recommends typical key areas and specialized objectives to be analyzed during the assessment.

Discover, Assess, Report

Our tailored analysis team commences with the hands-on assessment, delivering an audience-tailored report within just a few weeks.

Post Acquisition Support

We help with executing on the post-acquisition plans and provide the software engineering resources during the post-acquisition stage.

Full analysis of the target solution

ARCHITECTURE AUDIT

We perform a comprehensive audit of your technology and infrastructure architecture to evaluate its scalability and readiness for future growth. This step Includes a code review, APIs, data structure and implementation best practices related to software architecture, CI/CD, team, documentation and 3rd-party integrations.
CODE REVIEW

Our team conducts an in-depth code review and audit, examining code quality, structure, adherence to standards, and efficiency. We identify potential issues that could impede future development, ensuring your codebase remains robust and scalable.
SECURITY AUDIT

Security is critical for scalable technology stacks. Our security audit identifies potential vulnerabilities, providing a thorough security assessment of your system and ensuring it is resilient against future risks.
DATABASE AUDIT

A solid database architecture is essential for today’s data-driven applications. We assess your database setup for its bandwidth, scalability, and ability to support seamless user experiences and advanced analytics, essential for reporting and AI functionalities.

Why Sphere?

Team of experts available with minimal lead time

As part of a Technical Due Diligence (TDD) engagement, we assemble a multidisciplinary team, including software architects, engineers, AI, ML, and data specialists, cybersecurity experts, and ERP professionals.
Our reports are written for stakeholders without a technical background

We make our findings accessible for deal team members without a technical background. For each risk area you get mitigation actions and recommended priorities to help you value the investment more accurately.
Post-acquisition support

Our team provides a 100-day plan and long-term recommendations, and reserves key specialists for post-acquisition expertise with little to no lead time.
Addressing and preventing cyber security threats

We provide the cybersecurity assessment of the existing cybersecurity program to remediate threats, evaluate the compatibility and resiliency of IT infrastructure, and the vulnerability and attack surface of the applications.

Meet our Tech Due Diligence Leaders

Our proven track record and unwavering commitment to client satisfaction position us as trusted partners throughout the M&A tech due diligence lifecycle. Our core team comprises technology and business experts who are skilled at identifying risks and providing remediation strategies.

Mario Schwarts

Managing Director Data & AI Practice

Anton Shemerey

Director of Technology

Dmytro Shein

Solutions Architect

Oleg Kukareka

Solutions Architect

Loading form

Request a Free Audit

Technical Due Diligence FAQ

What is Technical Due Diligence (TDD)?

Technical Due Diligence (TDD) stands as a comprehensive examination of the technical infrastructure and operational capabilities of a product, software or organization prior to the onset of a merger or acquisition (M&A). Typically initiated by the acquiring entity or investor, Technical Due Diligence services dives into all aspects including products, software, strategic roadmaps, and other pivotal elements influencing the technical robustness of the company. In essence, Technical Due Diligence services provides a panoramic view of the actual worth of the company and its capacity to deliver on pre-M&A commitments.

Private equity entities possess a multiple options to enhance a company’s operations. Foremost among these is an invariably the technological front.

The companies can aim to increase the value by 15% to 20% through swift changes. Over 90% of companies can promptly enhance their overall functionality, profitability, and consequently, their valuation, simply by adeptly leveraging appropriate platforms and integrations across the organization.

During M&A transactions, this insight assumes the big importance for two compelling reasons. Firstly, comprehending the platforms, integrations, and technological solutions already in use by the business is crucial as they significantly impact its overall value and functionality. Secondly, if the business is not operating at optimal efficiency, prioritizing technological upgrades post-transaction could be a pivotal initial move.

In recent years, technology has emerged as more central than ever to organizational performance and competitive differentiation, transcending far beyond just tech-centric companies to embrace every industry. Most companies now rely on technology to achieve peak performance within their respective sectors. Consequently, conducting thorough technology due diligence has become a crucial step for navigating mergers, acquisitions, and beyond, both within and beyond the tech sphere.

Technical due diligence serves to spotlight technology blind spots that organizations may skip. During the M&A process, identifying and fixing these gaps is crucial to bring the technology infrastructure up to par. For instance, many organizations operate with outdated applications that are no longer supported, potentially exposing them to vulnerabilities. Outdated infrastructures may also struggle to cope with the high load data flow, impeding operational efficiency.

At Sphere, a company specialised in technical due diligence services, we recognize the dynamic nature of M&A transactions and strive to expedite timelines for accelerated value realization. Leveraging cutting-edge technology, we drive investment growth and enhance valuations. Our team comprises seasoned technologists and business practitioners adept at fostering top-line growth and bottom-line efficiency.

As a goal-oriented, client-centric consultancy, we pride ourselves on delivering tailored solutions in real-time. Our track record of success, coupled with our unwavering commitment to client satisfaction, positions us as trusted partners throughout the M&A lifecycle. Contact Sphere Partners, a technical due diligence company today to unlock the full potential of your transactions and realize your highest ambitions.