The Three Pillars
Essential to the success of every deal is what we refer to as “The Three Pillars.”
Strategic Fit
Successful merger and acquisition activity starts with a well-defined, unambiguous and clearly-stated corporate strategy. All acquisitions, divestitures and joint ventures must fit precisely within and support this strategy. We take the time to fully understand the client’s strategy and will, as a first step, work with the client’s deal team and senior management to ensure a precise fit between the fundamentals of the target and the buyer’s strategy. We will help the client determine whether a good rationale can be made - and desired levels of stakeholder value acheived - as a result of the contemplated acquisition.
Due Diligence, Business Plan and Valuation
This step is a key prerequisite for achieving value through an acquisition. The due diligence process involves the gathering of both external and internal deal related data. The gathering of external data includes an investigation of the target’s technical, operating, financial, EH&S, HR, etc. capabilities, as well as its current performance, future prospects and its key value drivers. With our demonstrated expertise, M3 Consultants will assist in identifying all potential synergies and help our client’s deal team execute this part of the M&A process proficiently.
Internal due diligence is needed to determine whether the buyer has all the necessary attributes and expertise to successfully integrate the target into its own organization and, thereafter, to realize all of the envisioned synergies. More importantly, we help identify the needed additions to our client’s capabilities so it can successfully integrate the target into its portfolio.
All of the facts gathered during the due diligence process are then used to develop a business plan for the target as part of the buyer’s portfolio; the strategies to be followed; and the results to be expected. These projections are, in turn, used in a valuation model to develop an enterprise value for the target. M3Consultants help ensure that the business plan generated meets various rigorous tests and that the valuation is a fair representation of the intrinsic value of the target. Using this intrinsic value as a guide, we help our client’s team negotiate a successful purchase.
Post Acquisition Transition and Integration
Post-acquisition transition and integration is the third of the fundamental pillars of a successful acquisition. M3 Consultants will help our clients navigate these torturous waters and put in place the necessary systems, procedures, structures and the personnel necessary to achieve the envisioned results.
The above “Three Pillars” are essential to any successful acquisition. At M3 Consultants, we have the experience and the expertise to help our clients carry out such acquisitions and have a number of world class affiliates upon whom we call (if needed) to augment our client teams’ capabilities ensuring that the deal they strike is solidly built upon these pillars.
Our Services
Business Mergers And Acquisitions
Acquisition Consultant
As an acquisition consultant, M3 Consultants works with and lends support to the buyer’s team by:
- Performing fundamental target attractiveness and strategic fit studies;
- Providing due diligence and business plan development;
- Performing valuation;
- Negotiating the deal;
- Participating in the closing of the deal; and
- Assisting the buyer with transition and integration of the target company.
Merger Consultant
Using its expertise to counsel the client contemplating a merger, M3 Consultants:
- Provides quality advice;
- Evaluates the proposed merger;
- Offers its independent judgment concerning the details of the merger and the advisability of the deal; and
- Partners with the client’s team to consummate the deal
Thereby allowing its merger clients to realize both the value to be gained from, and the full potential of, the proposed merger.
Divestitures
M3 Consultants creates value enhancement for its divestiture clients by helping them identify and sell those businesses that no longer fit the client’s strategic thrust. Utilizing well-tested processes and a uniquely qualified team to achieve optimal outcome for the divesture client, M3 Consultants:
- Prepares the informational material required for either private or public sale;
- Oversees the divestiture process;
- Provides assistance to intermediaries working with the seller and potential buyers;
- Negotiates the terms of the deal; and
- Sees the deal through to completion.
Working with M3 Consultants provides the divesture client with keen oversight in “key” areas; expert assistance with negotiations and transitional activities; and the benefit of expert and comprehensive analysis and direction throughout the divestiture process.
Joint Ventures
Parties to a joint venture are, by definition, forming an alliance to achieve a common goal. Each party to the joint venture comes to the table with its own identity, unique characteristics, and a variety of personalities. Without the expert assistance of a mergers and acquisitions consultant, the parties to a joint venture can quickly become bogged down with costly misunderstandings, personality and cultural conflicts, and disagreements, all of which cause the participants to lose sight of the common goal and only serve to derail the process.
An expert in the joint venture process, M3 Consultants will:
- Oversee the joint venture process;
- Keep the process on track by ensuring that the parties remain focused;
- Ensure that there are no misunderstandings between the parties to the deal;
- Help the parties to resolve any disagreements or conflicts that may arise;
- Make available, as needed, one or more of its team of interdisciplinary experts to provide the advice and analysis required to overcome specific stumbling blocks to accomplishment of the common goal;
- Help the parties to negotiate the terms of the deal; and
- See the joint venture process through to completion.
With M3 Consultants, the joint venture client will gain the advantage of a clear plan and experienced project oversight, thereby ensuring that a healthy, new alliance will result.