We carry out both sell-side and buy-side due diligence activities, offering analyses of target company business and operations, financials and capital structure, and relevant industry and competitive landscape. Our approach is based on deep industry expertise delivering assessments of both companies’ qualitative characteristics and quantitative facts and figures, anchored to industry and company reality.
The ROI-EFESO team supports Private Equity firms and investors with strategic and operational advisory services. We enhance the performance of companies at every stage of the transaction, maximizing the value of Private Equity investments.
With our expertise in operations, we quickly assess the respective situation of portfolio companies and just as quickly identify potential for improvement. We challenge existing plans and focus on value creation – and we also empower employees to maintain and increase the performance improvements achieved. To ensure a successful and long-term business partnership, we always work together with the company's management.
In Private Equity projects, we focus on the following areas of activity:
SOLUTIONS FOR YOUR CHALLENGES
OPERATIONAL DUE DILIGENCE
The 100-day plan - the gearbox between investment case and operational results - needs to be supported and embraced by the Private Equity firm as owner as well as by the acquired company’s leadership. The first 100 days are crucial in terms of making an impact and delivering a fruitful post-acquisition integration.
We recommend involving all employees of the acquired company. ROI-EFESO supports the buyer in aligning the acquired company management, developing and confirming the strategy, and setting ambitions and expectations.
POST-MERGER INTEGRATION (PMI)
By providing personnel strategy, operations and PMO capacities, we ensure the alignment of the organization and the use of best practices by the employees in the companies. This includes all relevant PMI phases and stages – from strategic goal setting to implementation plan and integration execution. We support PMI projects in particular with regard to
- Creating a customized PMI approach, taking into account the merger challenges and company size.
- Working with the management boards and integration teams of the companies.
- Providing industry-specific and/or functional expertise.
POST TRANSACTION TRANSFORMATION
Our framework for a successful Post-Transaction Transformation has helped clients to reach EBITDA improvements identified during the due diligence phase, helping Private Equity firms to capture more value from their M&A deals. We address the following performance drivers within manufacturing industry:
- Organization Restructuring and Rightsizing
- Product portfolio Optimization
- Maintenance and Growth CAPEX
- Make vs. Buy Analysis and Strategy
- Sales, Inventory and Operations Planning (S&OP)
- Automation and Technology
- Green Field / Brown Field
- Asset Utilization and OEE
- Productivity (Zero losses and Quality (Zero defect)) Improvement
- Capacity Modeling
Our team helps companies to shape their operational processes more efficient, agile, and technologically advanced. Based on our extensive expertise in industrial digitalization, we create added value with a short payback period in these and other areas:
- Process digitalization: automation of manual processes using digital technologies in all operational areas such as purchasing, manufacturing, supply chain management and R&D.
- Data analysis and management: collecting, analyzing, and using data to improve information flows and decisions in operational processes.
- Technology deployment: selection and integration of technologies to optimize interactions between business units.
- Technology acceptance and utilization: supporting the digital transformation with change management professionals.
We support Private Equity firms to make an impact on sustainability through their investments, delivering tangible value through an integrated sustainability strategy and operational plan. Sustainability themes are addressed and correlated to financial performance both before during and after an M&A transaction, with an increasing level of detail:
- Pre-transaction: initial screening against general industry scoping
- Transaction: assess sustainability risk and opportunities, and benchmark
- Post-transaction: achieve sustainability excellence
OPERATIONAL VENDOR DUE DILIGENCE (OVDD)
The objective of Operational Vendor Due Diligence (OVDD) is to provide the potential buyer or investor with a comprehensive insight into the financial, legal, operational and strategic situation of the seller.
With a OVDD carried out together with ROI-EFESO, buyers / investors can identify and better understand the risks, opportunities, and potential obligations of the company to be acquired. The results of the OVDD thus help to make informed decisions, determine the transaction price and better prepare for potential challenges and opportunities.
Dr. Thomas Troll
Tel.: +49 89 1215 90-0