Indeed. I watched a 30 headcount company that was quite productive getting ballooned up to 170 people after an acquisition. You won’t believe it, but productivity dropped _sharply_. Processes have been introduced that emphasized safety and risk mitigation so heavily that whole product lines are scratched before they can be released. Judging by products and improvements they released within the last year, you could be tempted to think they just stopped working altogether.
And the leads installed by the acquiring company seem to be highly intelligent - the company continues helicoptering in their brightest minds to fix this mess. It just so happens they are forced out every 12-24 months because it’s almost impossible to deliver anything there.
For example, last year they introduced SAFe. That caused an exodus which basically equaled a brain drain (still ongoing). Most people I valued for their straightforwardness and ability to cut through BS there have left or are leaving. The person pushing for SAFe introduction has resigned already.
The founders of that company have all left ofc, and are basically trying to restart the same company (or variations) with their own money. And their products are already picking up speed, becoming threats to the original one.