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DUE DILIGENCE |
DP&P’s
services cover the “deal continuum” and provide our clients
necessary support from concept to close. Due diligence within the context
of the deal continuum refers to in depth business analysis performed
to ensure that the target company has the qualities that the acquirer
or investor believes it does. Comprehensive and well executed due diligence
is critical to a successful acquisition (and the lack of due diligence
is often subsequently pointed to as a primary reason for an unsuccessful
acquisition).
The objectives of due diligence convey its importance: |
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Verify integrity of underlying data |
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Identify business risks and mitigation strategies |
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Assess business opportunities – synergies, growth through
customer / product expansion, operational improvements, cost reduction,
etc. |
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Assess sustainability of cash flows |
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Identify transition and integration issues |
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| Due diligence
begins when the target is identified and ends subsequent to close with
a transition to integration. Thorough diligence involves gaining a comprehensive
understanding of the target company along multiple facets, which generally
requires in-house or outsourced specialists in a number of functional
and transactional areas. At Donnelly Penman, we complement our clients’
transactional resources to provide outsourced financial and strategic
advisory services, whether it is enterprise valuation, financial due
diligence or a more robust orchestration of functional specialists to
deliver comprehensive diligence findings and deal implications. We have
a proven track record demonstrating our ability to adapt to our clients’
needs. |
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DEAL CONTINUUM
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