Undertaking a major fundraising transaction or an M&A event or planning for an exit, are very important transactions and need to be handled carefully. At OBX, we leverage on the collective knowledge of our team on all important transactions, as well as supplement your existing finance department, to assist you in undertaking various tasks smoothly. Our OBX’s have helped many companies; public as well as private, to undertake PE / VC funding, IPO, M&A (Mergers & Acquisitions), Strategic Exit, Restructuring, etc.
DUE DILIGENCE SERVICES
These words “Due Diligence” come with an impression of lot of work, stress and sleepless nights. The due diligence process however becomes a good health-check exercise if it is planned and executed properly. Whether someone is conducting a due diligence on you and for the same you need assistance with getting your data room in place OR whether you are planning to undertake due diligence on some other company and want to undertake detailed business and finance diligence, OBX makes perfect strategic partner for your requirements.
We provide business diligence & assessment services ranging from concise executive overviews, to a detailed comprehensive report
Our expertise includes the following
Operational & Financial Analysis
It’s one thing to report revenues and the bottom line, and variances against prior periods; it’s quite another to determine what’s driving the trends, and what can be done to influence the situation going forward. When we undertake Due Diligence exercise, we consider not only operational metrics, but also look at “what if” sensitivity scenario analysis and help you build smart MIS reports.
Business Performance Indicators
In any growing business, one could easily get buried under tons of data. But what is important is to analyze the business thoroughly and identify key business performance indicators that the senior management team should monitor on regular basis. We undertake detailed financial and business diligence to identify the right mix of operating and financial metrics that the company should monitor. Post identification, we build intelligent dashboards, aided with graphs and charts, to provide a robust monitoring tool to the management team.
Product Line / Client Profitability
Too often, with a lot of common costs, companies do not undertake specific product line/ client profitability and as result of which sometimes they end up incurring mores costs and losses on an already loss-making business while ignoring a highly profitable client/product. OBX assists companies in setting up appropriate systems & processes to capture true costings as well helps in designing management reports to view product/client profitability on an ongoing basis. While undertaking this exercise, we also challenge conventional methods of cost allocation to arrive at true profitability of the product/client. Identifying true product/client profitability helps the company to strategize its business initiatives appropriately, as well as it helps the company in taking appropriate decisions with regards to M&A opportunity.
MERGER & ACQUISITION SERVICES
It is tempting to undertake mergers and acquisitions for inorganic growth and strategic reasons, but one must evaluate all aspects of the target company before finalizing a particular transaction. Moreover, post transaction, a lot of care and planning needs to be undertaken for appropriate integration and to convert theoretical benefits contemplated to practical gains. At OBX, our OBX’s have executed many M&A transactions, both on the buy-side as well as on the sell-side. We assist companies, in executing their M&A strategy with maximum possible benefits while keeping any transaction risk to the minimum.
Some of the key areas we assist you with are:
Evaluating the right target:
Undertaking detailed diligence, reviewing findings from legal and technical diligence and then advising the company on benefits and risks of acquiring a particular target.
Strategizing deal terms:
It is not just the deal value but also the deal terms that help decide if the deal is good or bad. We work by your side and assist you in taking the right decision. We do not base our fees on the deal closure and hence are not motivated to push you into any deal without satisfying ourselves completely on deal economics.
Whether to undertake an equity purchase or an asset purchase transaction is always the most difficult question. This can be answered based on key diligence findings and risk appetite. We assist you with evaluating these options, considering various regulatory implications.
Planning the transaction process:
Without a good time table, M&A deals could take forever to close. We help you in coordinating with various deal advisors in agreeing on a timetable and delivering as per the same.
Whether someone is conducting a due diligence on your organization and you need assistance with getting your data room in place or whether you are planning to undertake due diligence on some other company and want a detailed business and finance diligence, OBX makes the perfect strategic partner for your requirements.
Planning and implementing a good post-transaction integration strategy is vital to the success of an M&A transaction. We assist companies right from the planning stage to implementing various systems, processes, reporting and other controls for effective integration strategy
IPO SUPPORT SERVICES
If you don’t have a OBX or if you have one but the OBX does not have relevant IPO experience; we at OBX step in and act as your Interim OBX to assist you with the entire IPO process. Thereafter, upon completion of the IPO, we assist you in setting up necessary systems and processes to be able to undertake good quality financial reporting and analysis, to assist you with investor relations. Further, we could assist you in recruiting the right finance team.
Following is a brief list of various services that OBX provides in assisting companies with their IPO strategy:
Identifying the right deal advisors:
An IPO requires you to work with many deal advisors: Investment Bankers, Lawyers, Auditors, Tax Experts, Financial Diligence Accountants, Banks, Registrars, Co-Brokers, etc.) and having the right one by your side makes a lot of difference to the success of your IPO. We assist you in selecting the right advisor, based on your company size, industry, funding requirement and business dynamics.
We actively assist you in negotiating the best commercials, and deal terms with various deal advisors.
Setting up data room for due diligence:
IPO due diligence is very detailed and needs to be undertaken in a time bound manner to achieve various agreed milestones as per deal timetable. We assist you in setting up a data room by collating information from all your departments and then sorting & analyzing them before commencing diligence exercise.
Building detailed Financial Forecast Model:
Investors, Bankers and Advisors would like to see a detailed financial forecast model built with sensitivity analysis. We understand the process and help building the same in line with the requirements.
Coordinating with various deal advisors:
There is a lot of coordination to be done on a daily basis, with various advisors, when in transaction mode. One needs to ensure that all requirements are satisfied in a time-bound manner for a successful closure of the transaction. Effective project coordination is extremely vital.
Review of Infomemo and other documents:
We assist you in reviewing various deal documents, from management’s perspective.
Having a good crisp investor presentation adds to the impact and increases your chances of getting investments. We assist you in building one.
How to make presentations while on a roadshow, handling tricky questions, preferred etiquettes, suggested actions/reactions to investor queries are all the areas we work with the management team in guiding them appropriately for a successful Investor Road-Show.
Reporting and Compliances:
Post IPO, we assist you in setting up the right systems and practices to enable the company to report on time and undertake all compliances. We also assist you in professionally handling BOD meetings and Investor analyst calls.