Bloomberg reported that Google, which has been on the acquisition trail of late, is considering working with PE companies to improve its M&A process and structure its deals. Dan Primack in his Term Sheet blog questions the value of partnering with PE firms, pointing out that Yahoo boosted its M&A team by putting industry insiders on the payroll.
He argues Google doesn’t need the cash that PE partnering would provide, and it can hire the acumen like Yahoo did if that’s what’s really necessary. The benefit of is that Google would not dilute the risk/reward ratio, that is it would be more profitable to keep going it alone. (Image source: Bloomberg)