Case Study

Value Creation

Public to Private valuation for PE Buyout fund

Principal Dutch PE
Type P2P buyout
Industry Tech
Turnover EUR 350mln
Tasks P2P buyout evaluation
Duration <1 year
Services Valuation Risks and Recommendation
432-min

Synopsis:

Thorough evaluation and analysis of stocklisted company for buy or not to buy decision

  • Full review of all historic financial reports, credit agencies, merger reports, IB reports, audit reports, securities fillings and media, including social media
  • Thorough analysis on IFRS vs. HGB statements and inconsistencies especially as to accounting practices, irregularities and major deviations in reporting and accounting method variances and DPR announcements
  • Identification of major restructuring risks, hidden restructuring cost and assumed cost of a complete takeover / taking private (vs. current trading)
  • Valuation of business parts and their risks/ hidden restructuring cost
Lead Partner

Silvio Stockmann

Results:

Negative recommendation to the Investment Committee (negative purchase price) as major red flags on hidden cost and accounting irregularities emerged. Instead, partial buyout of on performing business unit