The terms M&A have developed a reputation that often sparks fear rather than excitement. Employees immediately associate them with cost-cutting, redundancies, and uncertainty. When a deal is announced, the internal rumor mill kicks into gear, and trust, one of the most valuable assets during any transaction, erodes.
Despite this reality, communication is still one of the most neglected aspects of the M&A process. What should ideally begin with a clear, jointly developed communication strategy during the very first planning stages is, in practice, often left to chance — or worse, entirely delegated to the buyer’s advisors. The seller, believing they will soon step back, frequently takes a passive role, assuming the buyer will handle all messaging. This hands-off approach is a critical mistake.
A successful M&A deal is far more than financial due diligence and legal agreements.
Every transaction is a human story that affects employees, customers, partners, and external stakeholders. Telling that story correctly requires alignment and cooperation between both CEOs. Communication must never be the responsibility of just one party; it should be a shared leadership commitment between the acquiring and the selling CEO. After all, communication is the first step in building the future culture of the new organization — and culture is where so many deals stumble.
From the initial confidential preparations to the delicate first contacts between potential partners, from negotiating and signing the letter of intent to post-merger integration, each phase of a transaction demands tailored and thoughtful communication. CEOs should constantly ask themselves, “What do we want to say?” but “What do employees, customers, and partners need to hear — and when?” Every M&A deal goes through phases of anticipation, fear, speculation, and hopefully, excitement. Ignoring or underestimating these emotional dynamics can turn even the most strategically sound deal into a cultural disaster.
A common — and dangerous — misconception among CEOs is that communication only truly matters once the ink has dried.
In reality, uncertainty begins the moment the first internal whispers about a potential deal emerge. Even if a company is not legally obligated to inform employees before closing — a typical scenario in private deals — silence does not protect trust. It undermines it. People sense change long before it’s officially confirmed, and in the absence of facts, they create their narratives — rarely positive ones.
This is especially true in asset deals, where Swiss law, for example, explicitly requires companies to inform employees about the transfer of contracts and assets. But legal requirements aside, every M&A transaction triggers anxiety among employees. The mere notion of being “acquired” sparks fears of restructuring, layoffs, and cultural domination by the buyer. If both CEOs do not address these fears, they will solidify into resistance that can derail integration before it even begins.
What many leaders underestimate is that the way the deal is communicated sets the tone for the entire cultural integration process. If the buyer’s CEO dominates the narrative while the seller’s leadership quietly exits the stage, the message to employees is clear: one side wins, and the other loses. This creates an unhealthy “hunter vs. prey” mentality, with the acquired employees feeling like outsiders in their company. The result is disengagement, loss of key talent, and a cultural divide that no amount of post-merger workshops can quickly repair.
The only way to avoid this is for both CEOs to jointly own the communication process — starting before the deal is public and continuing well into the integration phase. Together, they need to craft a shared equity story explaining why the deal makes financial sense and represents a compelling future for everyone involved. This narrative must speak to employees’ concerns — how the agreement affects their jobs, careers, and daily work — and to customers, who want to know whether they can still rely on the same quality and service they trust.
A logical business case or strategic rationale may convince analysts and investors, but employees and customers need more than numbers. They need a story they can believe, told directly by trusted leaders. This requires visibility from both CEOs in formal announcements and ongoing conversations — through town halls, personal messages, and informal dialogues that invite questions and address concerns with honesty and empathy.
The interest in M&A activity doesn’t start with the official press release.
At the same time, the risk of leaks and premature speculation must be actively managed.
Employees often detect signs of a potential sale through sudden visits from unfamiliar executives, unexplained document requests, or even spikes in profile views on LinkedIn. Visionary CEOs plan for this reality and prepare clear, aligned messaging long before the first leak occurs. Being caught off guard with no unified communication strategy is a failure of leadership that instantly weakens trust in both parties.
Guidance on How CEOs Can Prepare for Leakage — Proactive Strategies
- Pre-agree a “Leak Strategy” with both parties.
CEOs (buyers & seller) should align on:- Who speaks if a leak happens (single spokesperson, joint CEO statement, etc)
- Key messages to immediately share with media, employees, and investors
- Channels (press release, internal email, social media)
- Pre-draft holding statements. Prepare statements for different scenarios — speculation, partial leak, full leak — to save time if the news breaks unexpectedly.
- Media monitoring in real-time. Set up a 24/7 monitoring system to detect unusual media or social activity related to the deal so you can react before the narrative spirals.
- Internal communication plan for leaks. Define how to immediately inform and reassure key internal audiences (leadership team, employees, key clients).
- Train both CEOs to respond to media pressure.
Leakage situations often trigger surprise interviews or urgent press calls. Both CEOs must be aligned and prepared to deliver a calm, consistent message. - Reinforce confidentiality within both companies.
Educate employees, advisors, and key stakeholders about the risks of leakage — and the importance of controlled communication. - Establish a joint task force (buyer + seller). A small, trusted group manages external communications if a leak happens, with clear escalation paths to both CEOs.
- Scenario planning & dry runs. Run a simulated “leak crisis” with companies’ comms teams and CEOs before the deal is public, so everyone knows their role.