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Case Study

Recent Work - Merger & Acquisition

Project Information

Client

SaaS/Tech Sector Company

Service Provided

Merger & Acquisition

A Dubai based client was on the verge of acquiring a Singapore based client, they approached us for consulting them in financial due diligence.

Challenges

Our first step is always to understand the requirement, discussing SOW and then move ahead. After the client approached us with their documents, a thorough research was carried out.

The company to be acquired demanded a huge figure for acquisition
Some financial flaws were suspected
Issues had to be identified so that easy negotiation could be carried out

solutions

We believe it is difficult for anyone to make decisions until they have faith in our resources' skill set, quality of service, professionalism of our dealings, communication procedure, and so on. So, to assist the client in obtaining all of this, we provide them with a FREE no-obligation trial period. To this client we provided a 3 month trial period, for implementation of all the solutions.

PARM experts carried out end to end financial due diligence of the company and pointed out these red flags:-

A decline in revenue stream was identified
There were certain covenants in customer and vendor legal agreements that could create issues going forward.
Certain employees/vendor-related frauds were identified
There was a lack of standard processes and templates for recording business activities
Inadequate reconciliation of various business processes with finance department
High risk of malfunction and misappropriation
Lack of internal control in various business processes

All the solutions were presented to the client and they accepted it with great satisfaction. Post approval, these solutions were implemented successfully and within the timeline. Ultimately, this helped in providing additional leverage to the Dubai Based Client in the negotiation process of whole merger and acquisition.

software used

Quick Book