Mergers and acquisitions
We assist clients at critical junctures in their corporate history.
One of these is when the shareholders decide to sell their business. We display our value-add through (i) engineering customized strategies to maximize value; (ii) offering insight on potential buyers: (iii) providing an understanding of key sector dynamics; (iv) sharing informed views on potentially achievable price and advice on consideration; (v) know-how in structuring an outright sale as well as a merger; (vi) deploying expertise throughout the negotiation phase; (vii) raising alertness to key deal issues including regulatory aspects; (viii) organizing a professional execution of the m&a process; and (ix) maintaining confidentiality.
Another typical situation is when a company wishes to pursue a growth path which encompasses external acquisitions. Here we (i) help clients identify and contact targets; (ii) advise them on value as well as on price and deal structure (iii) raise their awareness on - and help solve - key deal issues including regulatory aspects; (iv) organize the necessary ancillary professional skills especially when acting in foreign countries; (v) assist in negotiating price and other key terms; and (vi) identify sources of equity and of debt to finance the acquisition.
We believe that each situation is different, with its own peculiarities and thus strive to identify the best possible solution in each instance - while seeking to build from prior experience for “déjà vu” situations.
Leveraged Buy-outs
In a number of situations the need arises to buy out some or all of the existing shareholders of a family-owned business. In other situations companies may be ripe for a change of ownership led by a private equity fund, at times perhaps with the assistance of external, professional management. On yet another set of circumstances a large conglomerate may wish to shed a business which is being neglected under its roof and does not thrive as it could.
At CUBE Advisory we analyze each situation thoroughly in order to understand the objectives of the sponsors of the initiative (be it a family, a private equity fund, a management team) and to engineer the most suitable solution.
Thanks to our long-standing relationships with most players in the private equity industry and to our credibility, we work to craft the transaction to meet the sponsor’s objectives, engineer the deal structure, identify the most suitable sources of risk capital, understand the transaction’s main financial risks and assist in finalizing the deal.
General Advisory, capital structuring, capital raising
We have the experience to listen to client need, even when there is no specific transaction in sight and there might not be one for years. For us at CUBE Advisory it is educational and to our own benefit to be on the side of our clients when they simply wish to understand, be kept current, be stimulated with ideas, need a sounding board. We provide assistance and general advice to clients on industry dynamics and trends, intelligence on the market, independent views on capital structures, ideas on sources of capital, trends and innovation in the financial services industry.
Evolutions in the Shareholders’ Base
Sometimes a company wishes to embark on material investments (a manufacturing plant, a distribution network, a specific project, a small acquisition etc.) to seize strategic development opportunities, and this requires funding beyond the company’s means and debt facilities capacity. On other occasions, different shareholders have diverging views about strategy and they need to part ways from the rest. On yet another set of circumstances, an industry player may decide to become a “consolidator” in a specific industry sector.
This is one of the situations when you need to rethink your shareholder base, consider the opening up of the capital to new, external shareholders. Here is where we can help you – we have done it before, we know where to go to do it again.
IPOs, De-mergers and Spin-offs
Domestic and international capital markets are the potential solution to fund ambitious growth plans to create world-class champions, to maximize the expansion potential of winning business ideas, to provide liquidity to certain historical shareholders, to attract motivated professional management.
On other occasions, companies may need to group under one umbrella a specific set of coherent businesses/activities in order to unleash value, improve corporate clarity, grant incentives to motivated managers.
At CUBE we have the expertise - and the independence - to help shareholders understand the process involving the capital markets, advise on value, help choose the most competent investment banks to carry out a flotation, challenge and interact with global coordinators, position the “equity story” to make the IPO / demerger / spin-off a success.
Public Tender Offers
Your company may have been underperforming for a whole wide set of reasons. Or, you may have just spotted a clearly undervalued business opportunity. This is when you smell blood – your own, or someone else’s. You need an investment bank, lines of credit, lawyers, media communications experts, a plan. And - on top of all this - sometimes you need someone who is just plainly and simply unequivocally on your side, objective and uncompromising, to advise you on value, on strategy, on psychology. Someone with experience. Our door is open for you.