Due diligence and transaction advice

MGI BFC : Partenaire de choix pour
la réussite de vos opérations TAS.

Notre cabinet à une très grande expérience en matière de T.A.S. Cette expérience est le fruit des différentes missions effectuées pour plusieurs entreprises de secteurs d’activités variés. Fort de notre expérience, nous mettons notre expertise à la disposition de votre entreprise, pour vous accompagnez dans toutes vos opérations TAS.

Nos équipes ont déjà intervenue dans diverses projets, tel que des projets

  • D’évaluation et modélisation financière
  • Privatisation, restructuration, études de faisabilité, IPO…) 

Consulting TAS : Nos prestations
destinée aux entreprises.

The approach to be adopted differs depending on whether it is a business sale or takeover. Usually looks like this

Sale of companies

  • Understanding and analysis of the current situation of the company
  • Preparation of the teaser
  • Search for the appropriate financial package
  • Identification of candidates to be approached
  • Company assessment
  • Preparation of the information memorandum
  • Supervision and organization of the data room
  • Negotiation and assistance in the preparation of contractual documentation
  • Post-acquisition support

Business acquisition

  • Prise de connaissance du projet de reprise et définition de l’étendue de la mission
  • Definition and research of targets
  • Due diligence sommaire et évaluation de l’entreprise
  • Négociation et assistance à la rédaction de la lettre d’intention
  • In-depth due diligence
  • Negotiation and assistance in the preparation of contractual documentation
  • Support for the buyer after the takeover

Our advices are sought in a variety of situations to help with strategic decision making.

We use the valuation techniques most appropriate for each situation, which may include multiple comparisons as well as discounted cash flow analysis. Our work is differentiated by our understanding of the underlying business economics.

The valuation approach used generally falls into two major phases :

  • Phase 1 : Analysis of historical company financial data. The objective is to highlight the key elements that may have an impact on the financial evaluation.
  • Phase 2: Evaluation proper. Here the objective is to give a value to the companies concerned by combining several valuation methods (cash flow method, multiples method, etc.).

Businesses in income or cash crisis situations need immediate support to avoid impending insolvency. Stakeholders, especially investors and creditors, demand a full turnaround. They want the company to be repositioned to restore profitability and protect their loans and investments.

Our restructuring approach optimizes daily operations by reducing costs and improves the financial position by cleaning up the balance sheet. Without ever losing sight of the big picture, we also strive to tap new revenue streams to make your business more resilient for the future. The stages of financial restructuring are as follows :

  • Diagnosis of the current situation
  • Definition of a solid and realistic financial restructuring plan
  • Financial modeling
  • Negotiation with creditors
  • Search for alternative funding

The objectives of buyer or seller due diligence are to secure and optimize buy or sell transactions.

Our firm has proven experience in buyer or seller due diligence.

Buy-side due diligence

  • Analysis of the target's accounts
  • Analysis of tax and social risks
  • Analysis of legal and regulatory risks
  • Benchmarking of operational key performance indicators (KPIs) and working capital
  • Validation of material cost and margin assumptions
  • Revue du business plan et Évaluation des principales hypothèses opérationnelles et d’investissement
  • Inventory of guarantees

Vendor due diligence

Analysis of factors and trends in the market, competitors and the customer universe, as well as the target's business plan. Promote the communication of consistent and secure financial information to potential buyers.

Conducting a feasibility study consists of analyzing the viability and the economic and organizational implications of a project (business creation, launch of a new activity or a new product, etc.).

The stages of a feasibility study are as follows :

  • Evaluate the needs of the project
  • Evaluate the financial cost of the project
  • Present the forecast data of the project
  • Present the gross profitability of the project
  • Study the possible scenarios
  • Choose the most suitable scenario
  • Conclude on the profitability or not of the project

Our firm has extensive modeling experience, as well as strong project management skills, to meet the needs of our clients. Financial modeling thus facilitates decision-making, by making it possible to simulate the various possible scenarios, gain better visibility and lead to recommendations.

Realizing a financial model requires first understanding the sector, its dynamics and the exogenous data to which the project is sensitive. The concern for continuous improvement of our results is reflected in an approach in which the management of the company is heard on several occasions, so that each update of the version best meets its expectations.

The stages of financial modeling are as follows :

  • Identification & documentation of the developments envisaged by the management
  • Preparation of the strategic plan, integrating both market trends and the actions planned to change the positioning of the company and improve its sources of income
  • Preparation of a report describing the company's strategic plan
  • Preparation of the business plan generally over a 5-year horizon based on the strategy adopted, with presentation of the main assumptions and modeling of several scenarios
  • Drafting of a report presenting the business plan, the main risk areas and the sensitivity of future results to certain operational assumptions.