Deal Advisory

M&As are essential tools in any management’s strategy toolbox for implementing and achieving business goals. But they can be motivated by many different things, from achieving advantages of scale or to entering or exiting a market via critical assets and IP, all the way to traditional diversification. It should be noted, though, that inorganic change is always a dramatic event for any business. Regardless of whether it’s an acquisition, merger, carve-out or sale – it can have serious long-term effects on a business and therefore requires adequate consideration, planning and strategic foresightedness.

We’ll support you through all the steps of the process, from the fundamental strategic considerations, to finding suitable target acquisitions or partners, to creating the ideal strategy, all the way to carrying out the planned transaction.

If the inorganic change is rooted in the strategy phase, it’s now a matter of preparing the entire organisation for the coming deal. Regardless of whether you are buying or selling, you now need to ask the right questions. What is the best way to separate off the section to be sold so that neither side will incur any lasting damage? Which aspects are negotiable, and which aren’t? What guarantees do I want to give for the section I am selling? What guarantees do I expect to get from the sale? What initially sounds easy may have massive consequences further down the road, which only make themselves known much later in the deal. Questions that we ask in working with you include: ‘Will it be German-style frontloading or do we want to go with the flow?, ‘Do we want to prioritise securing the deal or getting the best possible price?’ and ‘Do we want to approach a specific segment of buyers or the whole span of the market?’ The answers to these questions form the basis for opening the data room.

Take advantage of our accumulated knowledge. We ask the right questions at the right time, and together we can work out the answers.

After the preparatory steps have been taken, the object to be bought or sold is put under the microscope in the execution phase. With due diligence, in the truest sense of the word, the target is examined for risks, but also for opportunities. Every area is up for examination: the finances, taxes, legal issues, operational processes, markets and competition, IT, governance and compliance, and the environment and sustainability.

We’ll help you get the top-most level of clarity in all these areas, answer all your questions and thereby lay a solid foundation for you to base your decisions on. Then you can decide whether the investment makes sense or to what extent. We’ll also give you assistance with questions concerning the right price. With our accumulated knowledge of due diligence and decades of experience in advising on mid-market transactions, we are competent partners in assisting with negotiations. Our work meets even the highest demands. It’s the soft skills, such as confident communication and interaction between the negotiating partners, that are, after all, critical to the success or failure of your deal.

To many consultants and advice departments, the deal ends when the contract is signed. But that’s when the work really starts because between signing and closing the carve-out or integration has to be got ready. Rigorous project management, based on solid planning, is what’s called for now. That is what takes care of all the issues on the closing agenda. Unlike ordinary projects, deadlines can’t be moved around and have to be agreed among all those involved, i.e., the buying and the selling entity, the purchase object and its environment. In addition, complex deals often involve agreement with the competition authorities.

This calls for experienced advisers who can manage the project with a steady hand, while in contrast the parties are all anxious to see how the deal will turn out. A good balance between precise planning and flexibility is the necessary foundation for success and the basis for effectively avoiding mistakes.

All studies, empirical reports and experience agree that integration has to start before the deal is signed. Because between signing and closing the focus is on carrying out the transaction properly. And after closing, the time for meeting all the expectations is already ticking down. And yet, looking back many deals are still considered to be bad because they did not fulfil what was expected of them in terms of synergies. It’s therefore important to consider early on what form later collaboration should take, that is, in terms of the values, the cooperating parties, the organisation, the processes, the systems and the contracts. What business values, such as the company culture, have to be preserved? What values can or must be sacrificed, such as IT systems? How can I measure the synergies that were involved in the consideration to buy and how, in managing the integration process, can I prevent these synergies from being lost in the initial excitement?

Every deal is different, and what worked in the last deal will not necessarily guarantee there will be nothing to worry about in the next. Take advantage of our expertise based on many years of experience handling all kinds of deals. Our experts will support you through every stage of the integration process.

Whether it’s strategic expansion into new markets, focusing on core activities, taking on new technologies, funding a growth strategy or carrying out succession planning, we assist businesses and investors plan and implement their deals. This allows you to successfully increase and secure your business values and achieve your strategic goals.
We are a reliable and experienced partner at every stage of M&A transactions. We plan, structure and assist with the whole project. With tact, we’ll guide you and all the parties through the process. Besides our M&A experience, we’ll also bring the necessary understanding of your business as well as our global Grant Thornton network.

Acquisitions and sales, mergers, carve-outs or raising capital – together we can develop a customised strategy and make your deal a success. Your success is our success.