Ronan Murray, the incoming Managing Partner of EY Ireland’s Cork office tells us how his Big Four career progressed from audit to mergers and acquisitions, and gives his take on M&A trends in 2024
Ronan Murray is the incoming Managing Partner of EY Ireland’s Cork office. Kerry-born Murray has lived in Cork for over 25 years, forging a successful career in corporate finance, starting in audit and progressing to mergers and acquisitions (M&A) advisory and services. As Partner, Corporate Finance, Strategy and Transactions, with EY Ireland in Cork for the past two years, Murray has provided strategic advice to Irish companies on acquisitions and disposals.
Q. Tell us a bit about your background and education?
I grew up in Tralee and I’m still firmly connected to family, friends and clients in Co. Kerry, but I have lived and worked in Cork for a long time. It’s a fantastic place and my two daughters will be proud Corkonians!
I started out studying commerce at University College Cork (UCC), graduating in 2001 with a commerce degree and returned to UCC in 2010 to complete an Executive MBA with a focus on developmental leadership education in a knowledge economy.
I met my wife Aideen Creedon, Head of Internal Audit at UCC, while we were both on our Chartered Accountants Ireland training contracts in Cork and studying for our exams.
Q. What inspired you to pursue a career in accountancy?
I remember during the graduate intake period at university reading the various job brochures from companies and organisations. I was struck by the Chartered Accountant (CA) qualification being a portable tool you could use as a foundation to build a wide and varied career in professional services.
It certainly hasn’t disappointed. I have been able to gain wide-ranging experience from external audit to transaction services over the course of 22 years working for Big Four firms.
Through secondments, I’ve had the opportunity to live and work in both New York and London.
I started in audit, qualifying as a Chartered Accountant in 2005 and becoming an External Audit Manager in 2006.
I joined the Transactions Team at EY in 2007 and worked until 2016 in various roles before returning to the firm in 2022 as a Partner in our M&A/Corporate Finance Team.
I may be biased, but in the world of corporate finance and M&A, the CA qualification is regarded as a differentiator and a distinct advantage.
It is a badge of honour you can take with you into any boardroom environment. The skills I have acquired through the qualification have served me exceptionally well throughout my career.
Q. As your career progressed, what prompted you to move from audit into M&A?
There is one moment that stands out as an important pivot point for me. Back in 2007, I got to spend some time working with a partner preparing the content for an information memorandum relating to a potential transaction.
I was intrigued and excited by the prospect of supporting on the deal. It was this experience that made me consider moving into M&A.
I really enjoy the variety the role offers day-to-day. I get to work with so many different people and businesses. It is fast-paced and I find helping business owners to achieve their goals hugely rewarding.
My audit experience has been essential in helping me to understand the core value drivers in business and, over time, it enabled me to move towards the M&A side of the market.
Q. What does your day-to-day role involve?
I spend most of my time working with business owners to devise strategies that will allow them to de-risk and obtain growth capital while executing a transaction that delivers value.
Achieving the best outcome is a fine balancing act. It’s important to take time to meet with owners, funders, legal intermediaries and wider market players to ensure your “finger is on the pulse” when it comes to potential opportunities for your clients.
I have a lot of meetings with local and international investors so I can fully understand their investment criteria and match them with suitable Irish companies.
The rest of my time is focused on deal execution – preparing information memorandums, agreeing heads of terms and reviewing sale and purchase agreements in tandem with legal colleagues.
From a private equity perspective, business owners often have an opportunity to obtain growth capital and commence a ‘buy and build’ process with a defined M&A strategy.
Dealmakers are looking at synergies across the various functions of a larger organisation. Investors are focused on the objectives behind a transaction. Often, the deal is about unlocking the potential and value that exists in an organisation.
Over the course of my career, I’ve been involved in hundreds of exciting transactions on both the buy and sell side. Some of the recent stand-out deals include the sale of PFH Technology Group to Japanese firm Ricoh and Phoenix Equity’s investment in Nostra Technologies. I have also enjoyed working with Zeus Packaging on several acquisitions in recent years.
Q. What are the biggest trends in the M&A market currently?
There was a global slowdown in transaction activity in 2022 and the first half of 2023, primarily due to uncertain debt markets and macroeconomic factors.
The M&A landscape has since improved and the Irish market is well-placed to see an uplift in deal volumes this year, as Irish assets continue to attract interest from investors, both local and international.
Ireland is a very competitive country internationally with an innovative, technology-driven, service-focused and open trading economy.
Our regions have grown and developed into destinations of choice for global companies, as well as providing a platform for indigenous private companies to develop and scale.
Acquirers are seeking strategic assets and the fundamentals of the Irish economy remain strong, making Ireland an attractive location for investment.
Private equity investment in the mid-market, driven by the availability of ‘dry powder’, is also playing a much deeper role in the Irish market.
As we move forward, private business optimism coupled with the existence of a more developed and balanced risk appetite, will define the level of activity for the year ahead.
Q. You are currently President of Cork Chamber. How did this role come about and what does it mean to you?
The passing of both my parents in a short period of time gave me more perspective and a sense that maybe I should work to make more of a difference in society and business in a way that would complement my professional role with EY.
I was appointed Chair of Cork Chamber’s Economic and Enterprise Committee for two years in 2013. Then, in 2018, I joined the Board as Honorary Treasurer and became Vice-President in 2020. I was elected President and Chair of the Board of Cork Chamber in May 2022 for a term of two years.
It was a proud moment and I have fully embraced it and enjoy the role.
Being President of Cork Chamber allows me to play a more active business and political leadership role in the region. The chamber has over 1,200 members employing some 120,000 people. Being President gives me a significant platform to represent the business community in the city and county.
Top tips for M&A transactions
Ireland remains a highly attractive location for investment and, looking to the year ahead, there is significant appetite to deploy capital as business owners continue to seek growth capital.
The technology sector continues to dominate the M&A landscape in Ireland in terms of transactions, partnerships and strategic alliances.
Other sectors of interest include engineering, financial services, business support services, healthcare, life sciences (both pharma and medtech) and ESG.
The green transition to a lower carbon economy is also driving investment decisions, and companies with sustainability credentials will continue to be attractive.
For Irish companies undertaking a merger or exit, being well-prepared is essential for maximising the value of the transaction. Here are my top five tips:
- Understand key value drivers; this is essential to both preparation and execution;
- Have a clear growth story with understandable drivers that underpin financial projections to match specific investor criteria and strategic objectives;
- Align key management in preparation for a transaction process, while also ensuring the team has the bandwidth to focus on the day-to-day running of the business;
- Ensure the business/economic cycle supports your plan exit (e.g. historic company performance versus forecast performance and macroeconomic environment);
- Ensure compliance across all areas of the business (e.g. regulatory, environmental and sustainability).
Addressing these areas well ahead of undertaking a potential M&A process will help reduce the risk of value erosion during a transaction.
Appointing advisors can also ease the transaction process and enhance value by allowing owners and managers to continue to focus on successful day-to-day operations.
And to advisors, I would also say: take the time to listen carefully. It’s important to be humble and confident. There is no place for arrogance.
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