BUY-SIDE ADVISORY

 

If your firm is considering the purchase of one or more companies, but needs supplemental professional resources to assist with the process, Pace has the deep Buy-Side Advisory experience you seek.

Generally, an acquisition (or a series of them) entails the completion of these primary tasks:

  •  Articulation of the strategic rationale/purpose of a proposed acquisition:
  •  Development of an acquisition strategy and associated project plan;
  •  Execution of the acquisition strategy/plan.

You can learn more about Pace's Buy-Side Advisory service by clicking on each of the four tabs below.


acquisitions

Strategic Rationale

  • Articulate strategic purpose (examples)
    • Increase revenue
      • Geographic expansion
      • Product line expansion
      • New market entry
      • Market consolidation - increase market share in same line of business and/or eliminate competitors
    • Increase economies of sale
    • Acquire key intellectual property, talent, or other strategic asset
  • Specify acquisition criteria for evaluating and prioritizing target company attractiveness

Acquisition Strategy and Planning

  • Research and select target acquisition candidates
    • Conduct comprehensive search for acquisition targets using client knowledge, industry and other databases, and industry contacts
    • Rank candidates against acquisition criteria and eliminate outliers to obtain final candidate list
  • Evaluate the comparative financial impacts of final candidates on acquiror's business:
    • Pro forma consolidated financial statements and EBITDA
    • Preliminary estimates of maximum purchase price/candidate
    • Alternative transaction structures
  • Articulate acqquisition investment rational and valuation strategy
  • Develop strategic marketing/sales pitch for acquisition candidates

Acquisition Execution

  • Initiate communication with potential targets, determine openness to acquisition, and perform preliminary due diligence to determine if the target is a good fit
  • Engage in dialogue and confidential information exchange with targets (preliminary due diligence)
  • Negotiate Letter of Intent (LOI) specifying purchase price, deal structure, and other key terms and conditions
  • Assist transaction attorneys in developing/negotiating transaction documents specifying:
    • Purchase price
    • Other financial terms and conditions including seller financing (if any), working capital adjustments, non-compete agreements, indemnifications, etc.
    • Representations and warranties
    • Closing conditions
  • Close the deal
    • Coordinate final due diligence
    • Renegotiate terms and conditions as required based on due diligence impact on valuation
    • Review and finalize closing documents

 

 

 

 

The only source of knowledge is experience.

 -- Albert Einstein

 

 

Denis Brown

Denis Brown

 

Denis, a Certified Exit Planning Specialist, brings a unique blend of experience to the marketplace. He has been involved in more than 100 transactions as a buyer, seller, investor, lender, or M&A advisor throughout his career.

Jim McClintock

Jim McClintock

 

As a seasoned and accomplished business leader, Jim brings a balanced blend of corporate (Citibank, SunTrust, BellSouth) and entrepreneurial experience to his role as an M&A and strategic advisor to Pace's clients.