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Business & Workplace Languagenoun · /ˌækwɪˈzɪʃən/

acquisition

acquisition — The act of one company buying another company or a significant part of its business.

In simple English

In the business context, an acquisition occurs when one company purchases another company, either wholly or partially. The acquiring company takes control of the target company's assets, intellectual property, employees, and operations. In tech companies specifically, acquisitions are common strategies for rapid growth, obtaining new technology, or gaining access to talented teams. You might hear about major acquisitions in tech news, such as when large companies acquire startups for their innovative products or specialized expertise. Outside of company-level acquisitions, the term can also refer to the process of obtaining or gaining something valuable, such as acquiring new skills, user data, or market share, though this usage is less common in formal tech contexts.

How to say it: Stress the fourth part: ak-wih-ZISH-un.

Understand what acquisition means in business, how it differs from merger, and how it applies in tech company growth strategies.

At a glanceCEFR B2
Commonness4/5
Versatility4/5
FormalityCasualFormalFormal
Spoken ↔ WrittenSpokenWrittenBoth
Directness ↔ DiplomaticDirectDiplomaticNeutral
RegionUS and UK

Say it like this

  • We're in acquisition talks with Company X.
  • The acquisition closed last quarter.
  • This was a strategic acquisition to strengthen our position.

Use it at work

Company news

  • The acquisition closes next month, so expect some changes.
  • After the acquisition, we'll move to their SSO.

Talking about growth

  • User acquisition costs went up 20% this quarter.
  • Our acquisition channels are mostly paid ads and referrals.

Asking questions

  • How will the acquisition affect our roadmap?
  • Will our team stay the same after the acquisition?

Don't say this

✕We are acquiring new users through the acquisition of the platform.
✓We're acquiring new users by purchasing the platform. OR We acquired the platform to expand our user base.

Using acquisition twice in the same sentence is awkward. Use 'acquiring' (verb) for the active process and 'acquisition' (noun) for the transaction separately.

Don't mix it up

How acquisition differs from similar terms
TermWhat it isWho writes or uses itWhen
acquisitionOne company buys anotherLeadership, the boardBig company event
mergerTwo companies join as oneBoth leadership teamsBig company event

Practice

Try it

4 quick exercises

Pick the most natural phrasing

1. Your company just bought another startup. How would you most naturally say this in a meeting?

Complete the sentence

2. The _______ of the cloud platform will give us access to their infrastructure and expertise.

Spot the mistake

3. Which sentence uses 'acquisition' incorrectly?

Rewrite naturally

4. Rewrite this sentence using 'acquisition': 'We bought a smaller company that makes security software, and now they work for us.'

Say it out loud

Phrase 1 of 3

"We're in acquisition talks with Company X."

We don't save your recording. The word check uses your browser's speech recognition.

More about acquisition

Real examples(3)

  • in a standup

    "The acquisition of the AI startup has accelerated our machine learning capabilities by six months."

  • in an all-hands meeting

    "Following the acquisition, we will integrate their team into our engineering division over the next three months."

  • in a team meeting

    "We need to plan how the acquisition impacts our product roadmap and timeline."

More mistakes(2)

Handle with care. Often confused with 'merger' or 'purchase'. Acquisition implies one company buys and absorbs another, not a partnership of equals. Also sometimes incorrectly used to mean 'obtaining' data or resources.

  • ✕The two companies agreed to an acquisition and merge.
    ✓The two companies agreed to a merger. OR Company A agreed to the acquisition of Company B.

    An acquisition is when one company buys another; a merger is when two companies combine as equals. These terms are mutually exclusive.

  • ✕We made a successful acquisition of five engineers.
    ✓We successfully hired five engineers. OR We acquired engineering talent from the startup.

    You do not acquire individual people in business English; you hire or recruit them. Acquisition applies to companies or major business units.

Other forms(3)

  • acquisition noun

    "The acquisition was completed in Q3 of this year."

  • acquire verb

    "Our company plans to acquire a cybersecurity firm next year."

  • acquired adjective

    "The acquired company will operate as a separate division."

Often used with(5)

  • strategic acquisition · An acquisition designed to achieve a specific business goal or competitive advantage.
  • acquisition price · The amount of money paid to purchase another company.
  • acquisition target · A company that is being considered for purchase.
  • acquisition deal · The agreement and negotiations involved in purchasing a company.
  • hostile acquisition · A purchase made against the will of the target company's management.

Similar words(3)

  • purchase · More general term; acquisition implies buying a whole company or major division, while purchase can be smaller.
  • buyout · Similar meaning, often used when a company or investor buys controlling interest.
  • takeover · Can imply a more aggressive or sudden acquisition, sometimes without the target company's agreement.

Opposites(3)

  • divestment
  • spin-off
  • sale

Questions(4)

What is the difference between acquisition and merger?
An acquisition is when one company buys another company and takes control of it. A merger is when two companies combine to form a new entity, usually more as equals. In an acquisition, the target company typically loses its independence, while in a merger, both companies may maintain some level of identity or control.
How do you use acquisition in a sentence at work?
You can use it to describe completed deals: 'Our acquisition of Company X closed last quarter.' Or to discuss future plans: 'We are exploring the acquisition of a smaller competitor.' You can also use it as an adjective: 'The acquisition team is negotiating final terms.'
Is acquisition formal or informal?
Acquisition is a formal business term. It is appropriate for meetings, presentations, official communications, and formal business discussions. While you may hear it in casual office conversations, it is distinctly professional language rather than casual or slang.
Why do tech companies make acquisitions?
Tech companies acquire other companies to gain new technology, expand their product offerings, acquire talented engineering teams, enter new markets, or accelerate development of strategic initiatives. It is often faster to buy a company with existing technology or expertise than to build it internally.
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