Analysis and preparation phase
An in-depth knowledge of the company and the industry allows Magánbankár to advise the sellers at every step of the process. We draw on industry and valuation databases to prepare the best conditions for a productive dialogue with potential buyers and their advisers.
During the analysis phase, Magánbankár performs some or all of the steps below. We:
-
Clarify owners’ success criteria and preferences regarding the sale process.
-
Analyse the company and its industry based on (i) interviews with the owners, (ii) industry reports, (iii) databases, (iv) newspaper articles, and the (v) financial statements of competitors and international listed companies.
-
Prepare an indicative valuation of the company applying different valuation models, including: (i) relative benchmarking with comparable CEE-based and European transactions, (ii) listed companies and (iii) discounted future cash flows.
-
Identify and analyse value drivers and articulate an “investment story” before commencing the sales process.
-
Advise owners on how to best groom their companies to make it more valuable and attractive to prospective buyers.
-
Search for and identify potential buyers based on a value chain analysis and possible synergies with different players. Through our international network in IMAP, we carry out a European – and if appropriate – a global search based on local market insights received from IMAP partners.
-
Analyse Private Equity Groups as to their investment criteria and possible synergies with their portfolio companies.
-
Qualify and prioritise buyer candidates according to (i) strategic match, (ii) synergy effects, (iii) previous acquisitions and (iv) financial strength, in collaboration with our client.
-
Prepare an in-depth information memorandum, which gives an outline of the company's potential and creates a precise and attractive picture of the company.
-
Assess the offering method, including the number of buyers and the profiles of candidates to be contacted first.
After the initial phase, Magánbankár helps the sellers to assess when a sales process should ideally be started. This depends on external market conditions and the saleability of the company, including possible approaches that can be carried out in order to optimise the value of the company before the sales process. |
