M&A CHALLENGES

Modelling a mergers and acquisition transaction requires a much more detailed, even tortuous analysis of the financial variables than a standard company forecasts.

Analysis of synergies, modelling of debt service reserves and organising a financial model for effective presentations are all key components of assessing the viability of a merged enterprise.

M&A SOLUTIONS

Forecast Vision models have been designed to be flexible enough to use historical data as well as an overlay of multiple alternate future projections based on potential scenarios.

The models can also take account of complex capital structures with many trenches of debt. Reports based on the fulfillment of multiple covenants can also be easily customised.

Detailed analysis of financial ratios and cash flow analysis specific to a leveraged buyout can also be produced. This can assist with assessing levels of mezzanine, subordinated and senior debt optimal for a transaction.

M&A EXAMPLES

Establishing an appropriate valuation to place on a proposed acquisition of a target company in the healthcare sector, given both the synergies available, the forecasted growth of the two entities and the risk of diseconomies.