Company Sale or Acquisition According to Current Strategic Plan

There are many reasons for the sale of a company.  It can be the owner seeking retirement, life changes (divorce, death in the family) and/or arranging a management buyout; it may even be a minority shareholder seeking liquidity (stock sale) in an otherwise non-liquid asset.  These are just a few.

Selling a company also involves many questions in search of answers regarding return on assets sold, taxation, proceeds distribution, assets versus stock sale, etc.  With proper planning and pre-sale packaging, many of these questions are answered in advance of any negotiations.

  • Fits With investment/Divestment Performance Hurdles
  • Coordination With Financial / Legal / Regulatory / Environmental Entities
  • Assessing Growth Needs in View of Strategic Plan
  • Development of Company Target List (including stand-alone, NPA, NSFs)
  • Contact With Target Companies and Gaining Relevant Information
  • LOI Preparation
  • Target Valuation
  • Negotiating and Structuring Transaction
  • Drafting the Acquisition Offer for Principals’ approval
  • Coordination of due diligence
  • Coordinating and supervising the closing of transaction

Evaluation of Potential Investment

  • Strategic Fit
  • Integrable with current operations/policy
  • ROI

Capital Structure

  • D/E Ratios Acceptable to Principals
  • Capital Sources Development
  • Economic Fit