We unlock hidden value as our clients sell or carve-out a non-core business.
Duff & Phelps provides sell-side and lender transaction services to a full spectrum of family and private equity-owned businesses as well as multinational clients with growing international businesses.
Key Services:
- Historical Financial Analysis – Quality of Earnings and Quality of Working Capital analyses/Cash flow
- Analysis of Operations – We analyse a Company’s operations to understand if there is an opportunity to present operational process improvements and potential future benefits from our analysis to enhance value of true deal
- Projections – Identification and validation of key projection assumptions, sensitivity analysis and risk profile, quality of backlog analysis, and projected working capital peg
Key Benefits of Sell-Side Due Diligence:
- Reduce time to close and enhance value
- Validate Management’s adjustments to reported EBITDA
- Identify potential Quality of Earnings adjustments, including pro forma, operational process improvement and run-rate adjustments
- Provide “script” from which all members of Management can take direction
- Reduce Management’s discretion and time devoted to transaction
- Assess Net Debt and Debt-like items and summarize significant commitments and contingencies
- Assess Quality of Net Assets and assist with the working capital definition and computation
- Identify potential tax exposures, alternative structuring scenarios, and purchase agreement improvements that maximize value to the sellers
- Provide IT, compensation and benefits due diligence to enhance the deal value
- Summarize accounting methodologies, policies and controls, including departures from GAAP or IFRS
- If transaction involves a carve-out, assist in bridging and reconciling historical financial data with deal-based financials
