“Freshworks began Q1 with strong momentum, building on our 2025 successes and achieving our sixth straight quarter of exceeding expectations,” said Dennis Woodside, CEO and President of Freshworks adding that demand for its EX platform and AI Copilot offerings continued to drive expansion. This reflects the increasing adoption of AI-powered customer and employee experience solutions across enterprises.

However, the company reported a GAAP operating loss of $8.1 million in Q1 2026, although it narrowed from a loss of $10.4 million a year earlier. At the same time, the company reversed its position from Q4 2025, when it had recorded a GAAP operating profit of $39.7 million, highlighting ongoing margin pressures in the cloud software market.

Meanwhile, Freshworks announced plans to reduce its global workforce by approximately 11%, impacting around 500 employees, as part of a broader restructuring strategy. This move comes as global SaaS companies face increasing pressure on growth efficiency and profitability. The layoffs will affect operations across India and the United States, signaling a shift toward leaner operational models.

The company expects to incur one-time restructuring charges of about $8 million, with most of these costs likely to be recognised in the second quarter of 2026, said Tyler Sloat during the company’s Q1 earnings call on May 6. This restructuring aligns with broader tech industry cost optimisation trends.

In terms of adjusted performance, non-GAAP operating income stood at $41 million, down from $46.4 million in the previous year, while margins contracted to 17.9% from 23.6%. Sequentially, the figure remained largely flat compared with $41.6 million in Q4, although margins declined, indicating cautious profitability trends despite steady revenues.

Additionally, GAAP net loss per share came in at $0.02, compared with breakeven ($0.00) a year ago. In contrast, the company had reported a profit of $0.67 per share in Q4 2025, reflecting a sharp sequential drop. On a non-GAAP basis, earnings per share declined to $0.11 from $0.18 a year earlier and also fell from $0.14 in the previous quarter. Despite this, the company maintained profitability on an adjusted basis, even as per-share earnings softened.

Furthermore, GAAP refers to standardised accounting principles that companies must follow, whereas non-GAAP metrics exclude items such as stock-based compensation or one-time expenses to provide a clearer view of underlying operating performance—an important distinction for investors tracking earnings analysis and financial performance metrics.

On the cash flow front, Freshworks maintained steady performance, with operating cash flow rising to $62.4 million from $58 million a year ago. Adjusted free cash flow stood at $55.8 million, while the company ended the quarter with a strong cash position of $780.4 million in cash and equivalents. This reinforces its financial stability amid evolving market conditions.

Following the earnings announcement, Freshworks’ shares rose about 2% to trade at around $0.19 apiece. However, the stock remains down roughly 26% year-to-date, reflecting broader volatility in technology stocks and investor sentiment around growth-oriented companies.

Importantly, the company secured two of the largest deals in its history during the quarter, including its first contract exceeding $1 million in annual recurring revenue (ARR). This milestone highlights increasing traction in the enterprise segment and strengthens its position in the enterprise SaaS market.

Among key operating metrics, the number of customers contributing over $100,000 in ARR increased 29% year-on-year. Meanwhile, net dollar retention stood at 106%, slightly lower than 108% in Q4 2025, indicating stable but moderating customer expansion trends.

Looking ahead, Freshworks expects Q2 2026 revenue to range between $232 million and $235 million. Additionally, the company raised its full-year revenue guidance to between $958 million and $964 million, signaling continued confidence in achieving double-digit growth in the global SaaS landscape.

“As we grow Freshworks to a $1 billion ARR company and beyond, our EX business represents the primary and largest growth opportunity,” Woodside said during the company’s earnings call. This outlook underscores the company’s strategic focus on scaling its EX platform and expanding its enterprise footprint.

The company also highlighted strong adoption of its AI offerings. “In Q1, Freddy AI Copilot customer growth exceeded 80% year-on-year, while the attach rate in new deals above $30,000 ARR was over 65%. Within its EX business, customer penetration for AI crossed 20%, nearly doubling from a year ago, and about one-third of all new EX customers adopted Copilot,” Woodside said.

Freshworks’ Q1 2026 results reflect a balanced narrative of steady revenue growth, rising enterprise adoption, and expanding AI capabilities, alongside profitability pressures and workforce restructuring. As the company continues to invest in AI innovation, employee experience platforms, and enterprise software solutions, it remains well-positioned to capitalise on long-term growth opportunities while navigating near-term market challenges.

The announcement comes as M&A teams face increasing pressure to do more with less. For most companies, inorganic growth depends on timing, context, and access. Yet M&A deal origination from mid-market and early-stage companies has changed little in decades, still driven by banker networks, static databases, and fragmented research workflows. Buyers often see only what is already on the market, while high-quality, off-market opportunities remain hidden.

Corporate development teams are leaner, timelines are compressed, and competition for quality assets is intensifying. While platforms like PitchBook, D&B, Datasite, and Tracxn have made company data more accessible, they largely stop at aggregation. GrowthPal addresses a different need by applying AI-driven reasoning to help teams identify which companies actually matter, based on strategic intent, sector context, and readiness to transact.

“M&A sourcing is where most time and effort is wasted, especially for smaller and mid-market deals,” said Maneesh Bhandari, co-founder and CEO of GrowthPal. “Teams spend weeks researching, filtering, and chasing opportunities that never go anywhere. We built GrowthPal to help buyers focus only on high-intent, high-fit targets and move from mandate to meaningful conversations far faster.”

GrowthPal’s platform acts as an intelligent M&A copilot. When a buyer defines a growth objective—like acquiring a specific capability or entering a new geography—the system translates that goal into a structured acquisition thesis. Its AI agents then scan an enriched database of more than four million technology companies using signals from public filings, web activity, hiring trends, funding history, and other indicators. The result is a short list of precision-fit, often off-market targets that align closely with the buyer’s mandate, rather than broad lists of loosely relevant companies.

The company was founded to address a structural gap in the market. While more than a million meaningful startups exist globally, fewer than one percent scale successfully, often due to lack of timely exits or strategic partnerships. At the same time, many acquirers struggle to find the right targets efficiently, particularly for transactions under $70 million that fall below the focus of traditional investment banks. GrowthPal was created to connect these two sides by making deal sourcing proactive, discreet, and data-driven.

GrowthPal has already supported more than 42 completed M&A transactions and facilitated over 210 LOI-stage conversations across North America, Europe, Asia, and Latin America. Clients include large and mid-market enterprises, fast-growing startups, private equity-backed firms, and corporate development teams across sectors such as IT services, SaaS, fintech, and vertical software. In one case, a single client closed seven acquisitions within 18 months using the platform.

The broader M&A landscape is increasingly shaped by data abundance and decision scarcity. Teams have more information than ever, yet struggle to turn it into conviction. As acquisitions become a core growth lever for companies of all sizes, the ability to reason across signals, context, and intent is becoming a competitive advantage.

“GrowthPal is solving one of the most under-optimised parts of the M&A lifecycle,” said Naganand Doraswamy, Managing Partner at Ideaspring Capital. “By focusing on qualified deal discovery and using AI to compress timelines, the team is enabling a more systematic approach to inorganic growth that traditional tools cannot offer.”

Looking ahead, GrowthPal plans to extend its intelligence deeper into the transaction lifecycle, supporting valuation reasoning, deal structuring, and preparation for negotiations. The company’s long-term vision is to become the system of intelligence that helps teams make better M&A decisions earlier, with greater confidence and clarity, starting from discovery and extending through execution.

About GrowthPal

GrowthPal’s AI-powered M&A copilot helps users identify off-market targets, validate fit, and accelerate deal execution, turning strategy into action within days, not weeks.

Its data- and intelligence-driven digital investment banking platform helps corporates acquire small- to mid-sized targets globally to add to their revenues, markets, geographies, customers, products, and teams. We specialize in add-ons, tuck-ins, and bolt-ons and cover global markets, including the US, LATAM, the UK, Europe, and Asia, and specialize in business services and software. The experienced team has helped 100+ clients and closed 40+ deals.

The platform combines data, machine learning algorithms, and human expertise to deliver the most relevant opportunities for any given mandate. The team uses sophisticated matching and scoring algorithms, then our in-house banking team reaches out, gauges interest, and facilitates introductions. For more information, please visit https://www.growthpal.com/

The company will deploy the fresh capital to accelerate innovation within its Merlin AI suite, expand go-to-market teams across North America and EMEA, and evaluate strategic acquisitions that enhance the platform’s capabilities. At the same time, the startup continues to strengthen its footprint in Australia, New Zealand, and Southeast Asia, where enterprise brands are upgrading customer engagement stacks and integrating marketing and product workflows.

Alongside these growth initiatives, MoEngage has completed its second employee tender offer worth approximately $15 million. Through this initiative, the company enabled liquidity for 259 current and former employees, supporting long-term wealth creation. Additionally, the round included select secondary transactions for early investors, including Eight Roads, Helion Venture Partners, Matrix Partners, and Ventureast.

“At MoEngage, we believe our success is a collective effort, built on a culture of ownership and innovation. It is vital that we recognize the people who brought us to this stage,” said Raviteja Dodda, CEO & co-founder of MoEngage. “This liquidity program reflects that commitment by ensuring that the builders of MoEngage, our employees, and early investors have the opportunity to directly share in the milestones we achieve together. We are grateful for the partnership of ChrysCapital, Dragon Funds, Schroders Capital, TR Capital, and B Capital as we continue to scale globally.”

Meanwhile, Southeast Asia and ANZ remain core growth markets for MoEngage, as enterprises across Singapore, Indonesia, the Philippines, Australia, and New Zealand rapidly adopt AI-powered, insights-driven engagement platforms. In response, MoEngage continues to invest in regional expansion to meet rising enterprise demand.

The company works closely with leading regional brands such as Kredivo, Alfamart, Blibli, XL Axiata, Trust Bank, Stan Entertainment, 13Cabs, Canstar, and TFE Hotels. In addition, it partners with global enterprises including 7-Eleven, Coca-Cola, Starbucks, Samsung, Domino’s, KFC, and Nestlé to unify customer data and deliver personalized, omnichannel experiences.

Furthermore, the startup is expanding beyond marketing teams by strengthening its offerings for product teams through MoEngage Analytics and MoEngage Inform. As customer engagement increasingly requires cross-functional alignment, the platform enables marketing and product teams to operate on shared data and deliver cohesive customer experiences.

MoEngage Inform centralizes critical transactional messaging, including OTPs, account notifications, and service updates, through a single API across multiple channels and providers, ensuring reliability separate from marketing campaigns. At the same time, enhanced product analytics capabilities within MoEngage Analytics connect behavioral insights directly to action. By unifying user data with real-time engagement, the platform allows product managers to understand user behavior and immediately trigger experiences that improve retention and lifetime value.

“Customer engagement has never belonged to just one team. Customers move through many moments, and those moments should feel connected and supportive,” added Dodda. “When product, engineering, and marketing work from the same data and tools, they can show up more naturally for their audiences. That’s the experience we want to help companies deliver so they can grow their brands.”

Rishabh Iyer, Vice President at ChrysCapital, said, “ChrysCapital is excited to partner with MoEngage for its next phase of AI-led growth. This investment aligns with our strategy to back technology platforms built in India for global enterprises, leveraging deep talent, capital efficiency, and a sophisticated understanding of enterprise needs. We are impressed by MoEngage’s disciplined operating model, sustained US execution, and broad product capabilities. We look forward to helping the team become the world’s leading marketing technology platform.”

Ridhi Chaudhary, CIO of Dragon Funds, stated, “We are pleased to partner with MoEngage, impressed by its strong management, continuous product innovation, and durable growth. We believe MoEngage’s best-in-class product and AI capabilities position it well to lead the martech category.” Aakash Tulsani, Managing Director at Dragon Funds, added, “MoEngage sets the bar for innovation by leveraging AI on first-party data, making it essential for marketers. It is a privilege to partner with MoEngage again, having invested previously.”

“At Zeta, we are building the modern banking stack for the world’s leading financial institutions. As a data-driven company, we rely on deep customer insights to drive our product strategy,” said Bhavin Turakhia, co-founder & CEO, Zeta. “MoEngage Analytics has helped us optimize critical journeys like onboarding, activation, and cross-sell, while their messaging capabilities allow us to instantly nudge customers. Effectively bridging the gap between insight and action. As a user of the product, I am impressed by the constant innovation. Additionally, MoEngage Inform has become essential for powering our mission-critical communications, delivering account and transaction updates with high reliability and speed.”

“MoEngage Inform has become a core part of how we run our e-commerce experience at Loblaw across our lines of business,” said Charu Pujari, SVP, AI and Engineering at Loblaw Digital. “It keeps customers updated on their delivery and pickup orders with the speed and reliability they expect, which has made a meaningful difference in how engaged and confident they feel throughout the process.”

Its GAAP loss narrowed sharply to $7.5 million, compared to $38.9 million in the same quarter last year. GAAP (Generally Accepted Accounting Principles) are standardized accounting guidelines used by companies to prepare financial statements.

For fiscal year 2025, It now expects revenue in the range of $833.1 million to $836.1 million, reflecting 16% growth. In July, the company had projected a 14–15% revenue rise.

“Freshworks once again exceeded our previously issued estimates across growth and profitability metrics,” said Dennis Woodside, CEO & President of the San Mateo, California-based firm. “Business leaders are realizing that AI belongs in the software their teams use every day. They choose Freshworks because our unified platform delivers real productivity gains, not more complexity strains. From intelligent automation across IT and HR to proactive AI-assisted customer support, Freshworks is helping businesses turn intelligence into impact, creating meaningful value for customers, employees, and shareholders.”

In an exchange filing, the company stated that it will issue 10.58 lakh warrants at INR 567 each to promoter group entity RAN Ventures Pvt Ltd and non-promoter company Bennett Coleman and Company Ltd (Times Group).

Zaggle has not disclosed the specific use of the newly raised funds, but the company has been actively pursuing acquisitions. Most recently, it announced plans to acquire golf-centric rewards platform Greenedge for INR 25 crore.

In a separate move, Zaggle revealed that it has agreed to extend a loan of INR 15 crore to Dice Enterprises for working capital needs. The loan will be provided over a 12-month period at an interest rate of 12% per annum, in one or more tranches, and is repayable on demand.

Earlier in June, Zaggle acquired enterprise spend management startup Dice Enterprises for INR 123 crore, stating that the deal will strengthen its product portfolio, provide access to Dice’s customer base, and help scale operations in India and globally.

Additionally, the company has entered agreements to acquire UPI payments startup Rio.Money and increase stakes in Effiasoft and Mobileware Technologies this year.

Zaggle’s acquisition momentum was fueled by its maiden QIP completed in December, which supported its growth targets. The company aims to achieve a gross revenue of INR 2,000 crore in FY26, along with a net profit of INR 200 crore through these acquisitions.

For the first quarter of FY26, Zaggle’s consolidated net profit jumped 56% to INR 26.1 crore from INR 16.7 crore in the same period last year, while its revenue grew 32% YoY to INR 252.2 crore.

This fresh infusion of capital comes four years after the company’s previous funding round and is set to accelerate Petpooja’s growth plans. The company intends to use the proceeds to expand its product portfolio, enhance AI-driven automation, and strengthen customer support, according to a press release. According to regulatory filings, Dharana Capital invested Rs 82 crore and Ashish Gupta put in Rs 1 crore, while the company has yet to complete the remaining allotments.

The funding round, consequently, values Petpooja at approximately Rs 910 crore ($103 million), representing a 3.5X increase from its previous valuation. As a result of this round, Dharana Capital will hold an 18.62% stake on a fully diluted basis.

Founded in 2011 as a B2B food delivery startup, Petpooja later pivoted to a SaaS model, offering cloud-based billing and management software for SMB food service businesses. Today, the platform serves over 1,00,000 clients across India, the UAE, and South Africa, handling approximately 25% of online order volumes on Zomato and Swiggy.

Commenting on the round, Vamsi Duvvuri, Founder and Managing Partner, Dharana Capital, said, “As India’s food service ecosystem undergoes rapid digitization, Petpooja has emerged as the core technology backbone for restaurants. Their resilience and customer-first approach has set them apart, and we look forward to supporting them in this next chapter of growth.”

Parthiv Patel, Co-Founder and CEO of Petpooja, said, “Our partnership with Dharana marks an exciting new chapter for us. This round will help us accelerate product innovation and continue building solutions that help restaurants simplify their operations.”

Petpooja has raised roughly Rs 185 crore to date, including a $4.5 million Series B round led by Aroa Ventures in 2021. Although Petpooja has yet to file its FY25 financials, it reported a 43% revenue increase to Rs 76 crore in FY24 and reduced its losses significantly to Rs 13.4 crore.

This latest funding underscores Petpooja’s evolution from a food delivery startup to a leading SaaS platform, helping restaurants streamline operations and leverage technology to scale efficiently.

The funding round was led by Aditya Vuchi (VCMint) and Raj Narayanam (RAN Ventures, Founder & Executive Chairman of Zaggle). Their backing highlights strong investor confidence in Vaave’s vision.

Until now, the startup had relied on bootstrap funds, along with support from friends and angel investors. However, with this fresh capital, the company plans to enter new markets, accelerate product innovation, and strengthen its leadership in alumni engagement.

Founded by Paresh Masade, Yasaswy Peesapati, and Jaipal Reddy, Vaave delivers subscription-based SaaS solutions. These solutions help educational institutions and corporates build and manage thriving alumni communities.

Today, the platform supports 1,200+ institutions across 28 countries, including top institutes like IISc, IITs, IIMs, NITs, and IIITs. Moreover, it manages alumni networks for leading corporates such as Tata Steel, Deloitte, Virtusa, and Bosch.

With its advanced networking and engagement tools, Vaave competes directly with international players like Almabase, Graduway, and Hivebrite. Yet, it positions itself as a strong homegrown alternative in the global alumni management space.

Therefore, this funding serves as a pivotal milestone in Vaave’s mission to empower institutions and enterprises. Ultimately, it aims to drive lifelong alumni engagement and sustainable community growth.

Headquartered in San Mateo and Chennai, the software firm now projects full-year revenue between $822.9 million and $828.9 million, reflecting a 14–15% increase—up from its previous forecast of $815.3 million to $824.3 million.

Freshworks also revised its non-GAAP operating income guidance for the year to $153–157 million, compared to its earlier estimate of $139.5–147.5 million shared after Q1.

“Freshworks delivered another strong quarter, exceeding our previously provided financial estimates,” said CEO Dennis Woodside in a statement on July 30. He added that more businesses are choosing Freshworks to simplify operations and adopt AI-enabled employee and customer service solutions.

In Q2 FY25, non-GAAP operating income surged to $44.8 million, up from $13.1 million a year earlier, while GAAP operating loss narrowed significantly to $8.7 million from $43.8 million. The company’s GAAP net loss also reduced sharply to $2.94 million, down from $20.99 million in the same period last year—highlighting better operational efficiency and cost management.

Operating cash flow grew by 61% year-over-year to $58.6 million, with a 29% margin. Adjusted free cash flow climbed to $54.3 million, up from $32.8 million in Q2 2024.

Freshworks closed the quarter with $926.2 million in cash, cash equivalents, and marketable securities, slightly down from $1 billion in the previous quarter.

Freshworks reported that the number of customers generating over $5,000 in annual recurring revenue (ARR) grew 10% year-over-year, reaching 23,975. Meanwhile, net dollar retention held steady at 106%, indicating strong customer retention and expansion.

Notably, the company shared that its Freddy AI Copilot and Freddy AI Agent products have together surpassed $20 million in combined ARR. This milestone highlights the growing adoption of Freshworks’ AI-driven offerings, which are playing a key role in its revenue growth.

ARR is a critical performance indicator for SaaS businesses, as it reflects predictable, recurring revenue from ongoing customer subscriptions.

“On AI adoption. Customers have moved from AI experimentation to realizing tangible business value and returns on their investments. Freddy Copilot was included in three of the top 10 new deals in Q1. Nearly half of all new large deals over $30,000 ARR had Copilot attached in Q1,” Woodside said during the company’s earnings call.

Originally founded in 2018 by Harman Singh Narula and his childhood friend SJ Sawhney, the company aims to help hotels streamline and automate guest interactions. Since then, Canary has raised nearly $180 million in total funding, reflecting strong investor confidence in its long-term vision.

“Running a hotel is increasingly complex,” Singh Narula said. “Guest expectations are constantly evolving, and staffing shortages continue to strain operations. We felt the hotel market was underserved by technology and that modern solutions could help hoteliers elevate the guest experience, improve profitability, and operate more efficiently.” 

Singh Narula explained that Canary provides a comprehensive suite of products covering the entire guest journey—from booking to checkout. For example, the platform allows guests to check in via their mobile devices or contact the front desk through text messages. Moreover, he noted that the company is increasingly integrating AI into its services by leveraging a large language model (LLM) to deliver instant responses across voice, web, and text channels.

“The guest’s user experience is completely customized and branded for each hotel,” he continued. “So, as a guest, you may not know that Canary helped enable your travel experience. With that said, if you’ve stayed in hotels recently, odds are you’ve utilized Canary, as we now work with 20,000 hotels across 100-plus countries.” Companies that use Canary include the Rosewood Hotels, Marriott, Best Western, and Wyndham. 

However, Canary isn’t without competitors—according to PitchBook, other guest management software providers in the space include Cloudbeds and Revinate.

Furthermore, Singh Narula characterized the company’s fundraising approach as opportunistic.

“While we weren’t actively fundraising, the opportunity emerged to bring in the right partners with strong alignment on vision, values, and where we’re headed,” he said.

Other investors, including Y Combinator, Insight Partners, and Fidelity, participated in the round. 

Singh Narula said the company will use the capital to expand operations and hire additional employees.

“We see travel as one of the most powerful ways people connect with the world,” he said. “We believe Canary has an important role to play in making those experiences more personal, more memorable, and more meaningful.”

With this latest funding round, Canary plans to further enhance its AI-driven guest management solutions and expand its presence in the hospitality tech space. Despite facing competition from players like Cloudbeds and Revinate, the company’s comprehensive product suite and strategic fundraising efforts position it well for continued growth.

1. How has MergerWare’s approach to mergers and acquisitions evolved over recent years with the rise of advanced technologies, particularly AI?

MergerWare is a leading company specializing in mergers and acquisitions (M&A). Our platform centralizes the entire M&A process, ensuring it is easily accessible to all stakeholders. With a controlled model, team members can manage tasks effectively while assigning permissions as needed.

Our platform focuses on tracking and accessibility, and with AI’s rise, we are integrating it into M&A data to boost efficiency. The M&A process has three phases: first, the pre-deal phase, where companies identify potential acquisition targets; then, due diligence, which evaluates if the target meets the buyer’s needs; and finally, the integration phase, where the acquired company merges with the existing organization.

We are using AI in areas like deal screening. For example, when a company needs to narrow down two targets from a thousand, they require extensive data to make an informed decision. Our AI streamlines this by collecting and analyzing data, identifying risks, and assessing the strategic and financial fit of each target. The AI engine gives decision-makers detailed risk profiles and insights, helping them select the best acquisition opportunity.

2. In your opinion, what are the primary challenges the M&A sector faces today, and how does MergerWare’splatform address these through digital transformation and automation?

The M&A process is complex, and cross-border deals add extra challenges. For example, acquiring a European company from the US (or vice versa) involves navigating different regulations across 50 countries, along with aligning teams and operations in various locations.

Many M&A processes still rely on outdated methods, with teams working in silos and using different tools, like Google Drive, Dropbox, or SharePoint. This lack of a unified platform leads to confusion and delays, with employees often focused on their tasks without understanding the bigger picture, leaving key questions unanswered.

Communication issues further complicate the process, as employees, suppliers, and vendors may remain unaware of acquisitions due to poor planning. It’s crucial to inform everyone about changes, but many integration efforts remain disjointed, leaving stakeholders uninformed.

Mergeware addresses these challenges by combining document management, reporting, and dashboards into one platform. CEOs can quickly check updates, eliminating the need for emails or presentations from country managers. With centralized access to key data, authorized users can find information anytime, anywhere, ensuring smoother processes and better organization.

3. AI and machine learning are transforming various business sectors. Can you elaborate on how MergerWare leverages AI to streamline M&A processes and improve decision-making accuracy?

AI is transforming all stages of the M&A process: pre-deal, due diligence, and post-deal integration. In deal sourcing, AI identifies the best acquisition opportunities by helping companies shortlist potential targets and prioritize the most promising ones, making the process faster and more accurate.

During due diligence, AI allows deeper analysis of shortlisted options. Since companies usually acquire only one or two targets, this phase requires careful scrutiny. With sensitive information exchanged between buyers and sellers, AI enhances efficiency and security. For example, in cross-country legal due diligence, AI summarizes multiple reports in seconds, extracting key insights and risks. Instead of manually sifting through documents, users access summaries, comments, and identified risks, making decision-making quicker and more informed.

In the integration phase, AI helps automate repetitive tasks that would otherwise consume significant time. MergerWare pre-configures many tasks, offering suggestions based on best practices, so teams don’t miss crucial activities. This automation frees up time for creating value and building stronger, unified companies.

By streamlining each phase, AI ensures efficiency and maximizes deal potential, making the transition from deal sourcing to integration smoother.

4. Risk management is a critical aspect of any M&A. How does your platform use data analytics and AI to assess and mitigate risks, especially in cross-border transactions?

AI helps identify hidden risks early on. For instance, when planning to acquire a company, I first gather publicly available data without revealing my intention. As I progress, I review financial reports, customer data, and legal contracts, where many risks often emerge.

Legal contracts often include crucial clauses, sometimes just a short line, that hold significant weight. Our AI platform detects these risks early and displays them on a dashboard, keeping you informed for immediate action.

The platform assigns risks to the appropriate team members for resolution. Until resolved, the risk stays visible on the dashboard as a reminder. Each time you log in, you’ll see updates and tasks to address these risks, ensuring effective compliance and policy adherence.

5. Real-time collaboration and transparency are often barriers in M&A. How has MergerWare implemented technology to foster seamless, secure communication and data sharing among stakeholders?

Mergerware offers a pre-built action item checklist and an M&A label on its platform, which is versatile for any type of deal. After customers define their M&A processes, we map them to the platform and grant access to the relevant stakeholders, ensuring the right individuals have the right information. This enables seamless communication, even for legal teams working across multiple countries, allowing them to collaborate, share best practices, and discuss challenges through the built-in chat feature.

Access is restricted to authorized users, keeping deal information secure. Activities are controlled via roles and permissions, so HR teams only collaborate within their department, while legal teams communicate with peers. The deal head has access to all critical information. Limited-access users can perform tasks relevant to their role without unnecessary distractions, ensuring transparency and efficient collaboration while maintaining security.

6. Data security is essential in handling confidential M&A information. Could you share some insights into the security protocols and technologies MergerWare uses to ensure data protection and compliance?

In mergers and acquisitions (M&A), data security is essential. The platform prioritizes security in every process, product, and design. It serves as an information enabler, storing all data securely on the cloud, with storage options based on customer preferences. Data can be hosted on customer-controlled clouds or platforms like AWS, ensuring compliance with local regulations. For instance, servers in Italy or Mexico adhere to their respective security protocols.

The platform restricts access to authorized individuals and offers advanced control over information sharing, allowing users to set permissions on documents, such as view-only or no-editing rights. These controls apply both ways between buyers and sellers, maximizing security. Additional features like watermarks further protect data.

The platform is ISO 27001 certified, ensuring global security compliance. Annual evaluations by an external agency confirm adherence to security protocols, data backup, and deployment methods. Regular surveillance audits maintain certification and compliance with industry standards, such as SOC 1 and SOC 2. These efforts consistently reinforce the company’s commitment to data security and compliance.

7. What role does predictive analytics play in MergerWare’s platform? Can you share examples of how predictive insights have helped clients achieve better outcomes in M&A deals?

Predictive analytics focuses on utilizing customer data effectively. For example, we worked with a Japanese company with extensive data to analyze team performance during integration deals, which involved HR, finance, and legal departments. The goal was to identify the most efficient team by assessing the time taken and the number of activities completed in a set period, like 100 days.

With this data integrated into the platform, advanced analytics provided insights, including predictions about future integration deal success. By analyzing past performance, the platform could predict outcomes and suggest improvements. However, accurate predictions require significant data.

Additionally, we’re developing small predictive models to help customers rank companies in their deal pipeline based on acquisition potential. These models simplify decision-making by identifying the top-performing companies, allowing businesses to leverage data for better strategy and outcomes.

8. Given that the M&A industry is traditionally conservative, how has MergerWare managed to encourage adoption of digital and AI-driven tools among clients who may be less tech-savvy or resistant to change?

Adopting new tools can be difficult for M&A professionals used to Excel. Transitioning them to a new platform like MergerWare requires effort, but the platform offers greater efficiency and collaboration.

MergerWare helps users see its advantages over Excel, such as reducing isolated workflows. While Excel limits collaboration, MergerWare allows multiple users to work together, track progress, and stay guided. It also includes an embedded checklist and template creation features.

This shift tackles a key M&A challenge: value creation. Poor deal execution and lack of integration teams often prevent companies from realizing returns. MergerWare ensures smooth integration, centralized knowledge, and improved communication.

With MergerWare, crucial information stays accessible even if team members leave, unlike Excel-based processes where knowledge is lost. The platform securely stores and shares data, making it an asset to the company.

Organizations are recognizing Excel’s limitations and moving towards more efficient solutions. MergerWare’s user-friendly, Excel-like interface makes the transition easy. Our focus is on helping customers understand and adopt the platform, improving collaboration, streamlining processes, and achieving better M&A outcomes.

9. Given the vast amounts of data processed in M&A, there’s often a risk of ‘data overload’ which can obscure critical insights. How does MergerWare’s platform balance data volume with decision-making clarity, ensuring that AI-driven insights remain actionable without overwhelming stakeholders with excessive information?

Mergers and acquisitions generate large amounts of data from sources like financial records, legal documents, and IT systems. Effectively managing this data is crucial for smooth operations.

Our platform is designed to tackle this challenge by organizing and redistributing data based on roles and permissions. For example, the legal team accesses only legal documents, finance focuses on financial data, and HR sees HR files. Each team has a dedicated folder with only relevant documents, preventing information overload.

The platform also leverages AI to simplify data analysis. AI generates concise summaries, such as highlighting litigation details in a deal, so users can quickly access key information without reviewing multiple documents.

This data redistribution helps teams make faster decisions, with each team focusing on specific, actionable insights. HR may handle 20 documents while finance manages 30, all without sifting through unnecessary data.

Additionally, team leaders can use a dashboard to track progress, view milestones, and plan next steps, avoiding the need to dive into every detail. This approach streamlines data management, ensuring an efficient workflow.

10. M&A success often hinges on post-merger integration, which is notoriously complex. How does MergerWare leverage AI or digital tools to address cultural alignment and human factors in post-merger phases—a critical yet often overlooked component of successful integrations?

Around 80–90% of mergers and acquisitions fail, primarily due to poor integration. Successful integration is crucial to justify the investment in an acquisition. At MergerWare, we focus on two key areas: cultural integration and process alignment.

Acquisitions often bring diverse team members, employees, and customers from various backgrounds. Seamlessly integrating them into the new system is essential. Early involvement of the acquired team in the deal process fosters a sense of belonging and helps them adapt to the new culture and vision.

At MergerWare, integration begins on day one. The acquired team gains immediate access to tools, integration plans, and roadmaps for the first 100 days and beyond. This transparency promotes collaboration and unity, creating a “one team” mindset critical for success.

Our platform simplifies integration by managing information access and encouraging collaboration during the initial 30 days. It also addresses cultural challenges and lays the groundwork for effective communication. Departments like HR and finance follow clear communication plans to convey the acquisition’s purpose, benefits, and future goals, such as launching new products or expanding markets. By prioritizing transparency, collaboration, and clear communication, we help organizations achieve successful mergers and deliver value to stakeholders.

11. AI in M&A is typically associated with financial analysis and risk assessment, but there’s potential in preempting ‘deal fatigue’ and decision paralysis among teams. How does MergerWare’s platform approach the psychological aspects of the M&A process, perhaps by leveraging AI-driven behavioral insights to sustain momentum and engagement?

M&A deals often lead to frustration when people lack the right tools and information. This becomes harder if you’re leading an integration without a dedicated team, relying instead on HR or legal staff who have other priorities. Despite this, the responsibility for completing the work remains yours, making integration nearly impossible without proper support.

The platform addresses this issue by simplifying onboarding. It provides essential information, a clear checklist, and coaching. New users see their key tasks from day one, along with explanations of their importance, allowing them to begin confidently without delays.

Instead of wasting time asking, “What’s next?”, users can log in to view their priorities, update progress, upload documents, and complete tasks. Once done, the system notifies stakeholders, ensuring smooth communication.

Centralized information and automated communication boost productivity by offering clarity and timely assistance. The platform’s AI delivers necessary information when needed, enabling seamless integration and helping teams stay focused on results.

12. The ethical use of AI is becoming more crucial as data plays a central role in M&A. How does MergerWare ensure that its AI-driven tools maintain transparency and ethical standards, especially in sensitive areas like employee data analysis or corporate restructuring insights?

MergerWare’s platform is uniquely designed, including all its AI components, which are developed in-house. This approach eliminates the need for third-party integrations, ensuring greater control and reliability. For instance, our proprietary NLM (Natural Language Model) removes the dependency on external tools like ChatGPT. While integrating with such tools can be beneficial, it also brings risks, such as increased reliance on third parties.

Our primary focus is to keep the platform independent and self-sufficient. However, when necessary, we can integrate with customer-specific tools. For example, if a customer has specific data requirements, we can customize solutions to fit their needs seamlessly.

We intentionally avoid integrating with generic AI applications to prioritize data security and protect our customers’ information. Every tool within the platform is pre-built and developed by us, reducing risks and ensuring a secure, reliable experience for users.

13. With the rise of environmental, social, and governance (ESG) considerations, how is MergerWare adapting its platform to help clients assess ESG-related risks and opportunities during M&A processes, especially as regulatory demands in this area continue to grow?

MergerWare has enhanced its platform to address the rising focus on ESG (environmental, social, and governance) in mergers and acquisitions (M&A). With growing regulatory demands, the platform now includes a dedicated ESG stream throughout the M&A lifecycle, from due diligence to post-integration.

The platform features pre-configured ESG metrics, allowing clients to track progress, manage documents, and streamline compliance. It also provides an ESG dashboard and reporting tools, enabling teams to monitor activities and scores in a centralized, secure space for easy access during meetings and decision-making. These upgrades help companies efficiently meet ESG requirements and stay ahead in a changing regulatory landscape.

14. Congratulations on your recent case study by IVEY and HBR! What inspired its creation, and what key leadership or strategic lessons should future business leaders take from MergerWare’s journey?

Thank you, I truly appreciate that. The case study, published by Ivey and featured by HBR, stemmed from our real-world challenge of scaling a niche SaaS product in the traditional, risk-averse M&A industry. I wanted to offer a behind-the-scenes look at what it takes to introduce innovation in a space long driven by paper and relationships.

A key message I hope future leaders take away is that innovation isn’t just about technology—it’s also about timing, storytelling, and resilience. While the market wasn’t always ready, we focused on education, strategic partnerships, and solving real problems to build trust and drive adoption.

The case also highlights leadership during uncertainty—staying focused, motivating your team, and adapting to change. These lessons go beyond tech and apply to anyone leading through complexity. I’m honored this case is now a learning resource for future leaders.