In the IT services space, reducing growth rates and increasing pricing pressures are making it difficult for investors to realize the targeted IRR. Dramatic improvements in operational & financial parameters are the foundation stones of any value enhancing deal. Hence, no support to the company management from PE investor is good enough.
Even before the Private Equity investor decides to give sell mandate, the questions they are asking:
- Does my operational & financial parameter meet or exceed industry expectations? Will it provide me fair value in the market?
- What kind of Operational & Strategic support I can provide to my company leadership to make it a success?
- Before going to a transaction advisory firm, can I relook at the operations of my investee company and explore opportunities of value creation?
Our Pre M&A assistance can provides business and operational insight to the company leadership. Our senior professionals have decades of experience in managing large size services business.
Before you give a sell side mandate, we can work with your company leadership for two to three quarters, helping them improve the business performance parameters leading to value enhancement. We will work with them to find revenue and cost side levers and ensure that the organization improves its shareholder value proposition in a short span of time. We being a third party to the whole process bring a neutral view to table and ensure that personal biases don’t hold what-makes-sense.