Client
A leading Indian firm in the Cutting Tools domain with operations across India & Europe.
Mandate
The Client had identified a target company for acquisition in the Cutting Tools Domain and had engaged with a Professional Invest Banking firm to advise them on the Transaction.
USPI was onboarded to with a mandate of doing a comprehensive Business Due Diligence of the target company, including assessing the business plan feasibility and therefore any potential impact it could have on the estimated valuation.
Our Engagement
Team USPI spent time with the Client and their Investment Banker to first understand the context and the intent of the transaction. Basis this, a detailed Due Diligence was done covering the following areas.
- Product, Process, Technology
- Commercials – Customer-side & Supplier-side
- Operations
- Supply Chain
- People
- Business Risk
- Business Plan Analysis & scenarios
Outcomes Delivered
Basis the due diligence, a detailed report was presented to the client on the key risks and opportunities leading to a potential upside or a downside to the valuation.
The report also included the Business Plan scenarios and practicability of executing the business plan, with a clear set of recommendations for the client post acquisition.
The report additionally included specific insights into the existing Structure and operations of the business thereby highlighting options of how the transaction could be structured (taking those elements into consideration) in the best interest of the Investor, while ensuring a win-win for both the parties.
