M&A Target Identification
Our team has been involved in a number of acquisition target research projects. Where companies are seeking to grow by acquisition either in its domestic market or in external jurisdictions, research is conducted that follows a client’s specific requirements. A shortlist of companies are identified and approached to discuss a potential acquisition.
We help private and publicly listed companies, private equity houses and family offices with the research element, following specific search criteria to identify opportunities. We do this for businesses seeking deals for the purposes of acquisition, merger, investment, or strategic partnership.
Defining the Search Critera
The client’s search critera is the fundamental guide to the type of companies of interest. The client defines the size, status, ownership, country of operation, business operations, business model, and other metrics.
We look at the entire market, using paid for databases and our access to company registers to assess potential targets.
Going further than just top level company revenues within a specific jurisdiction, we dig into the accounts of each target and where available, report on segments.
This gives a more detailed view of a company’s activities prior to opening up books during a discussion.
The M&A Target Identification output will be a longlist of companies in a datasheet, with latest revenue, operating profit (both with at least three years historic data for growth view), company description, business segment descriptions, website link, generic email, and segment revenues where available. Clients can ask for other details as part of the research process.
The client may specify potential targets based on geography, sector, turnover, ownership and other metrics. However, there may be additional nuanced requirements. For example, the target might have to be active in a specific activity that is interesting to the client. In these cases, more time must be spent analysing websites and product and service offerings.
Our role is limited to the target identification process only.