Private Investment Banking for Lower-Mid Market Companies
Even for enterprises with annual turnovers between 10 to 100 million dollars, it can be a real challenge to raise timelyand appropriate investment at the best possible rates. For most business owners, merger, acquisition, divestiture, and debt or equity investmentsare infrequent, if not once-in-a-lifetime transactions.
Expensive, insufficient,improperly conductedor delayed capitaltransactions can potentially have disastrous consequences. With Paladin’sextensive industry networksand 26years of experience in assisting small and medium companies anticipate their capital requirements and arrange the most appropriate, timely, and efficientcapital transactions, you can afford to feel reassured.
Full Transaction Management & Value Advisory Services for Private Companies
How you manage your capital today will define your competitive strength tomorrow. Paladin helps your company achieve a lean fit and enhances strategic value by advising senior management about optimizing capital transactions. We advise you about the strategies to raise, invest, save, and optimize capital structure with the goal to maximize performance and deliver the most value to your stakeholders. Our senior consultants have a rich and well-rounded cross-functional experience in multiple sectors, which enables them to evaluate and optimize your strategic capital management and business value.
Optimizing Your Business Value
Business Value Advisory is a specialized process that demands detailed analysis and industry expertise. It requires a complete understanding of the business in addition to an objective and independent assessment of numerous factors, including the industry and investor expectations; your products, markets, customers, competitors, and market share; the business’s financial history and future prospects; and the professional gravitas of the senior management and key employees. Paladin digs deep behind the financial numbers.
Why Work with Paladin
Our Senior Consultants will draw upon their more than 50+ years of combined experience and their knowledge of business capital transactions to understand your value creation processes and estimate your current business value. Our valuation measurement services include share/business valuation, transaction negotiation, financial reporting valuation, fairness opinions, and shareholder value management. Based on the valuation, we show you the ways to enhance company value by optimizing transaction, investment, growth, and operational strategies.
The Most Comprehensive Transaction and Value Advisory Services
Our transaction management and value advisory services focus on advising senior management and board of directors of lower-mid-sized enterprises looking to raise capital, make an acquisition or conduct a divestiture. We help you anticipate capital issues and prioritize market opportunities like M&A, divestitures, alliances or joint ventures. Depending upon the requirements, we gauge and bolster your readiness to raise capital, help you perform the due diligence, assist you in deal structuring and documentation, advise you about strategic equity and debt investment, and support you in sourcing the required capital.
Mergers& Acquisitions& Divestitures
A merger is a legal consolidation of two entities into one entity, whereas an acquisition occurs when one entity takes ownership of another entity’s stock, equity, interests, or assets. Mergers and acquisitions are complex, though sometimes vital for the organization’s health and long-term success. When working as your advisors, Paladin’s team of consultants help you deal with allthe critical aspects of the transaction, including the deal structure, liability and asset transfer, third-party and shareholder consent, method of payment, working capital adjustment, escrow and earn-outs, representations and warranties, target indemnification, closing conditions, HR, legal and tax issues, etc. The result is a smooth transaction that delivers the optimum value to all participants.
Acquisitions and divestments are elementary to the business strategy of most leading companies. Successful companies focus on selling under-performing assets and operations with the same rigor with which they pursue new business acquisition. As Transaction and Value Advisors, it is our goal to help you realize optimum value from divestiture and redeploy the capital for strengthening your core business. Paladin takes you to your strategic goals by optimizing your portfolio, anticipating and evaluating acquisition and divestment risks, streamlining the close, and minimizing disruptions and risks.
Our experts conduct a due diligence risk assessment in anticipation of your company’s future sale, merger, acquisition, or financing transaction. As a result of our services, you can preserve enterprise value in a capital transaction by identifying and addressing issues that may negatively impact valuation, timing, ability to close, and other crucial aspects of the deal. We assess your internal controls, operational and strategic drivers and market focus with the aim to have your company transaction ready, so that you can maximize your enterprise value.
Mergers, acquisitions, loans, or equity investments typically involve a substantial amount of due diligence by the buyer, creditor, investor, or merger partner. The due diligence process is all the more important for private company transactions, where the target company has not been subjected to the scrutiny of public markets and public information sources.
The aim of the due diligence is to ensure that the transacting parties are aware of what exactly the buyers or investors are buying, including the nature and extent of the target company’s contingent liabilities, problematic contracts, litigation risks, intellectual property issues, and much more. Paladin’s consultants leverage their experience to perform and facilitate the due diligence process to ensure there are no surprises throughout the transaction and even long after it has been concluded.
Deal structuring is a critical M&A and transaction process that provides the seller with the desired compensation and ensures the buyer can operate the business in line with their strategic and financial goals. Paladin’s deal structuring process involves identifying the primary goals of the transacting parties, seeking alternatives to achieve these goals, and revealing, mitigating and sharing the risks. A proper deal structure should satisfy as many goals of the parties involved as possible at a risk acceptable to them. It contains details such as the acquisition vehicle, mode of payment, key stakeholders, form of acquisition, post-closing organization and integration, legal matters of selling entity, contingent liabilities, and accounting and tax considerations.
Transaction Documentation Vetting
Gaps and anomalies in the transaction document can lead to conflicts and disputes during and even long after the conclusion of the transaction. It takes an incisive understanding of the business and the industry to uncover the fissures in a transaction document and make it robust and comprehensive from all angles. You can count on Paladin’s immaculate and extensive track-record to vet alltransaction documentation to ensure it meets the designed business intentions including every material conflicting situation and risk that may arise in the post-closing.
Offering & Marketing Materials, e.g. CIM’s
Mergers, acquisitions, divestitures, investment and financing all involve presenting your business to the potential investors in an impressive and convincing manner. Paladin suggests and offers the requisite marketing materials such as CIMs, PPT presentations, teasers, financial analysis, market studies, company profile, etc. to optimize your business’s marketability, attractiveness value. We start by sending an anonymous “teaser” proposal to potentially interested parties and reveal more information in a tried-and-tested,systematic sequence, ensuring confidentiality and credibility at all times.
Virtual Deal Room
A Virtual Deal Room is an online highly secure repository of information that buyers and investors need for conducting the due diligence process in M&A transactions, loan syndication, or private equity and venture capital transactions. A VDR also facilitates buyers, sellers and creditors to conduct virtual meetings and video conferencing to negotiate and finalize different aspects of the transaction. We reduce the cost and enhance the efficiency and security of the transaction and due diligence process by employing Paladin’s Virtual Deal Room for the duration of these transactions.
Strategic Investment Value Advisory
All investment opportunities are not created equal. Regardless of how lucrative it may look, the true strategic value of an investment can only be calculated after evaluating its pros and cons in comparison with the available investment alternatives. Our Strategic Investment Value Advisory services identify, value, and guide decisions on business growth strategies, strategic alternatives, capital allocation, and operational improvements that impact the bottom line and drive shareholder value.
Equity & Debt Advisory & Capital Sourcing
The optimal use of private debt and equity capital is a material key to success for any business. Yet many of the lower-mid-market business owners are not fully aware of the wide variety of capital sources available to them. Working with you as debt and equity advisors, we identify and deliver the most profitable private capital options and help you formulate the optimal capital structure. We prepare an in-depth capital analysis of your business and predict the strategic impact of various capital structure alternatives for your approval. Upon receiving your nod, we take the transaction to the market and capitalize on our extensive relationships to source optimal equity or debt in the context of your short-, medium-, and long-term goals.