The situation
The deal team had financial and legal diligence covered but no one looking at the target from the outside. The target handled shipping data for large customers, so a breach would hurt both the deal and those relationships.
What we did
We agreed on scope and a ten-day deadline. We reviewed the target’s internet-facing systems passively, searched breach data and leak sites, checked ownership and sanctions lists, and looked for any sign of past incidents.
What we found
Most of the target’s setup was in reasonable shape. But a customer database export bearing the target’s name had been posted on a criminal forum about 18 months earlier. Nothing had been disclosed publicly or in the data room. Ownership and sanctions checks came back clean.
We rated the breach finding high confidence, based on matching file structure, dates and customer names, and described the posted material without downloading it.
What changed
The deal team raised the breach with the seller, who confirmed it. The firm negotiated a lower price and a security escrow, and added fixing the issues to the 100-day plan.