One of our focal points is the support of our customers in the sale of company shares. We offer our clients a comprehensive service that fully supports them in all phases of the project, from preparation to completion.
Whether it is the complete sale of an owner-managed business, the sale of a business unit of a group or the sale of a company owned by a financial investor, we have experience to make the process run smoothly.
As many of our sale transactions have an international focus, our global structure ensures we have high-level access to the most suitable buyers worldwide, whether they are strategic buyers from a specific industry or financial investors.
Selling a business is a very complex process representing a considerable milestone in a company’s history, therefore, an experienced and reliable partner is key to a successful transaction.
PREPAREE THE COMPANY FOR THE PROCESS
Every sales process is different. We start by listening to our clients who we work alongside with to define their company’s “DNA” and the unique selling points.
We always strive to perfect the “magic triangle” of attractive purchase prices, timely and efficient transaction execution and high transaction security in the interest and benefit of our customers.
We prepare the sales documentation, including the teaser, information memorandum, financial forecast model and valuation of the company, which is the prerequisite for a professional approach to potential partners. The documentation helps the potential buyer to analyse the company and prepare an initial offer.
A robust preparation of the company for the sale process is key to achieving the best possible price as it allows the seller to go through a complex negotiation and review process.
CONTACTING THE INVESTORS
We support our clients in the identification and analysis of potential buyers and, on behalf of our clients, establish contact with the selected buyer candidates.
Whether a strategist, financial investor or private buyer, we design the buyer universe according to our clients’ wishes and our experience regarding the marketability and unique selling propositions of the target company.
We thoroughly analyse the financial resources, current market activity and strategic direction of potential buyers before presenting them to our clients as suitable prospective buyers.
We ensure that the identified buyers can be addressed directly by our German team or our international colleagues. It is our philosophy to address potential foreign buyers locally in their respective countries and languages.
We have long-standing and close relationships with the relevant financial investors and private investor groups in German-speaking countries. We maintain direct and confidential contact with the decision makers of the potential partners.
SUPPORT OF THE BUYERS AND QUALIFYING OFFERS
Following receipt of an expression of interest and a signed confidentiality agreement, we provide the sales documentation and maintain an exchange with the interested parties to provide them with a basis for the preparation of an indicative offer.
We organise site visits, presentations and telephone conferences and answer any questions. We qualify the first offers and select potential candidates for the due diligence phase.
In this phase, we help our clients not only to obtain the best price, but also to ensure an optimal transaction structure. We also negotiate mechanisms that minimize both the legal and financial risks of our clients after the acquisition.
DUE DILIGENCE AND COMPLETITION OF THE TRANSACTION
We manage and monitor the company’s due diligence process carried out by potential buyers. The investigations usually focus on financial, legal, tax and strategic issues. In this phase, we support our clients in the efficient preparation of a data room, site visits and management presentations.
We monitor and manage the entire process and assist the seller in selecting suitable specialist legal advisors.
In addition, we assist our clients in closing negotiations and help them achieve the best possible terms and conditions for closing the transaction.
In contrast to a financial investor, a strategic investor’s priorities usually cover more than just the return on investment. The main motive for investments is usually the prospect of expanding an existing market presence and strengthening their competitive position. The attractiveness of a company is measured by its market share, customer base, brands, product profile and management quality.
In order to win strategic buyers for the acquisition of a company, the strategic suitability and the potential of the business activity of the target company must be clearly emphasized.
Strategic investors generally expect:
- Synergies in important functional areas (sales, products, brands, customers, organization)
- The conviction that the company is managed safely and efficiently
- A participation of the existing owners and/or management, at least for the first two years after the initial investment
We have extensive experience in selling companies to strategic investors, so we know their expectations and priorities in the negotiation process.
To attract financial investors, it is essential to have a significant investment story that thoroughly explains the company’s success factors and the impact on the control of key risk components.
Financial investors usually expect:
- Strong product/service offering, a technological edge and stable revenues and margins
- Appropriate return on capital employed
- Experienced management with many years of industry experience
- Protection of interests through special shareholder rights
- The possibility to exit after a certain period (resale of shares to other shareholders, a new investor, or listing on a stock exchange)
We have a wealth of experience in selling targets to financial investors, which enables us to assess their expectations and priorities.
We map the buyer universe according to the wishes of our clients.
We ensure that potential buyers are approached directly at management level by our local offices. The approach is always in the local language.
We have long-standing relationships with the leading financial investors and private investment groups in German-speaking and neighbouring countries.
We cooperate with foreign financial institutions, investment banks, consulting firms, investor associations and industry organisations.
We are always in direct contact with the investors’ decision-makers therefore we do not use mass mailings or advertisements.