We serve various types of investment institutions such as private equity funds, sovereign wealth funds, strategic investors, and acquirers, and conduct detailed commercial due diligence on investment/acquisition targets. The typical scope of commercial due diligence includes
Research on the target industry
Case study of the comparable enterprises
Analysis of the competitive landscape and key success factors
Research and analysis of the target users
Evaluation of the main business capabilities of the target company
Evaluation of the validity of the target company's future development plan
Future financial forecast
Typical Case 1：We helped the strategic Investment department of an Internet company to conduct commercial due diligence on a nut offline chain brand. Through consumer research and focus group interviews, we analyzed consumers' habits and logic for buying roasted seeds and nuts. Through store observation, we analyzed the consumer characteristics, prices, and store sales of the company and its main competitors. Besides, we broke down the value chain costs of different brands in detail.
Typical case 2：We helped a private equity fund conduct commercial due diligence on a skin-care brand. Through expert interviews, management interviews, interviews on channels, and consumer research, we analyzed the prospect, competitive landscape, and regulatory situation of the skincare industry, evaluated the target company's product strength, brand power, channel capacity, and the prospects of the R&D pipeline, and built a model for the financial forecast.
Typical case 3：We helped a state-owned financial holding platform conduct commercial due diligence on the merger and acquisition of a Chinese pharmaceutical enterprise. In this project, we not only analyzed the target industry but also focused on the target company's business model, product operation, channel coverage, marketing, R&D pipelines, investment, etc. Besides, we conducted feasibility assessment for the target company’s major future development measures, evaluated the synergy of the M&A based on the acquirer’s demand, and built a financial model to predict future revenue of the target company.