The "acqui-hiring" trend has been especially apparent among tech players, especially Yahoo Inc. (Nasdaq: YHOO), which has conducted dozens of transactions as a means of enlisting the talent behind a company. The tactic, which prompted Yahoo to be recognized as Mergers & Acquisitions' 2013 Mid-Market Strategic Buyer of the Year, has become synonymous with strategic buyers, but an inverted version of it has been used by private equity firms for years, according to Jim Rosener, a partner at Pepper Hamilton LLP.
These days, private equity firms are more aggressive in their courtship of savvy individuals that have earned recognition in their respective circles for growing companies, Rosener says. Tapping experienced executives within various sectors is what makes for a significant win in the future when it comes time to buying a new portfolio company. The talent would already be in house, Rosener says.