The markets are on the move again. After a subdued transaction year in 2023, M&A activity picked up noticeably in the course of 2024. According to a recent analysis by Bain & Company, this trend intensified again in the first half of 2025 – particularly in cross-border transactions among European SMEs. Drivers include falling interest rates, ongoing consolidation pressure in several industries and the increasing involvement of private equity investors. Even though the transaction process is picking up speed again, communication remains an underestimated challenge in many cases.
Communication as a critical factor
M&A transactions are rarely purely economic events. They are strategic turning points that change identities – both internally and externally. For employees, the future of their jobs is often at stake, while for customers, investors and suppliers, the question of stability and continuity arises. And for the media and politicians, new opportunities for interpretation arise, which, depending on the tone, can influence the course of events or employer branding.
Especially in times of increased uncertainty, it is important that companies not only communicate, but communicate in a coordinated, strategic and forward-looking manner. Those who do not lose control of the narrative have a better chance of building trust and minimising friction losses.
Case in point: Viessmann and Carrier Global
An example that underscores the importance of professional M&A communication was provided in 2023 by the takeover of Viessmann’s heat pump business by the US group Carrier Global. Although economically sensible, the sale was met with media and political criticism in Germany – there was talk of a ‘sell-off’. Only intensive follow-up communication, including interviews, family statements and political commentary, was able to turn the tide of public opinion in the long term.
Communication as a driver of integration
M&A communication does not end with the signing of the purchase agreement. It accompanies the entire transaction – from the initial market rumour phase to internal and external announcements and integration. Three dimensions must be managed equally:
- Internal communication: Involve employees at an early stage, address fears, turn managers into multipliers.
- Capital market and media communication: Develop narratives that clearly convey the strategic logic and synergies – without resorting to PR language.
- Communication during integration: Transparent change communication, cultural sensitivity and regular progress dialogue are crucial to merging two companies into one.
M&A transactions rarely run smoothly – especially when it comes to communication. Those who think about communication early on and set it up in a structured manner create better conditions for a smooth transaction and successful integration. Especially in complex stakeholder environments, a well-coordinated communication strategy can help reduce uncertainty, avoid misunderstandings and build trust.
