Opportunity: Provide process support to a due diligence effort, analyzing the operational efficiency and value of a prospective acquisition to help our client:
Decide upon investment options
Identify leverage points to negotiate the best possible deal
Make initial integration decisions
Approach: Participated with client’s diligence team on a plant tour of a medical device manufacturing operation outside the US; provided client with written feedback and advice on observations
Results:
Identified $750,000 in obsolete inventory on the balance sheet
Validated key statements from acquired company on its capacity and cost of goods sold (COGS)