Successfully completing a divestiture or an acquisition is one of the most common challenge we are asked to address. Buying or selling a business unit consumes management time, brings into sharp relief different perceptions of value, and often creates disparate goals. The principals of our firm have many years of experience guiding transactions on behalf of shareholders or management.
Not investment bankers, the Mountain Group works as a representative of the Board or Shareholders, a project manager guiding financial and legal advisors. As an independent party, the Mountain Group is especially successful at forging consensus between partners, shareholders and management during the transaction.
The Mountain Group's principals have extensive experience with transactions both as the CEO of the acquiring or selling firm as well as a shareholder representative. Their background provides unique advantages in discovering value, and presenting it to others. Their operating experience ensures implications for future operations each negotiating decision might have are understood. This in turn allows the Mountain Group to develop a deal structure that preserves the most value.
Althought The Mountain Group has staff that can complete many of the functions normally asked of an investment bank (preparing an information memorandum, identifying target buyers, arranging due diligence, management presentations, assisting in the negotiation of contracts and closings) we believe most transactions benefit from engaging financial advisors. The Mountain Group works as project manager, representing the Board or Shareholders, and stays with the project from its inception through a financial close, and resolution of any purchase interest adjustments.
Our Approach:
Prior to identifying a buyer or target, working with management we will
- develop a cohesive view of thebusiness strategy: how isthe firm going to build value from the transaction.
- translate acquisition or market expansion strategy into income expectations that are meaningful given the capital employed.
- identify likely candidate types for the other side of the transaction, with a preliminary expectation of advantages and disadvantages of each.
- select appropriate financial and legal advisors
During negotations The Mountain Group leads negotiaions on the client's behalf, or serves as an advisor. In either position, we actively participate in the discussions from inital presentations through the signing of the purchase and sales agreement.
Why the Mountain Group?
The Mountain Group principals have a unique approach and set of skills. The Mountain Group principal will thoroughly learn the practices of the clients business unit, identifying sources of value that could be highlighted in a divestiture, or benefit from an acquisition. These observations and practices, arising out of the operating background of the principles, provide a foundation for the work following. Its neutrality, indepth understanding of the business and fee structure, uniquely positionsTMG to provide advice untainted by other concerns.
The firm’s principals have successfully guided transactions in size from $1 mllion to $2 billion, on behalf of organizations ranging from start-ups to large multi-national companies, in a diverse range of industries, around the world.