Sector:

Industrial and Commercial Services

Service Lines:

M&A - Revenue Synergy Assessment, Customer Segmentation, Buy-Side Commercial Due Diligence

Client Situation

A leading packaging services company was considering an acquisition of a major competitor 

If combined, the two companies would be mixed in terms of where overlaps existed – offerings, capabilities, customers and geographies

The client needed to get a clearer view on the market outlook and the potential revenue synergy opportunity, including dis-synergies if shared customers wanted to diversify vendors

How We Helped

Collaborated with the management team to understand their views on the market and the opportunity to generate revenue synergies

Analyzed the client’s commercial performance and customer positioning to understand synergy sources and downside risks

Identified customer segments and evaluated how a combined value proposition could appeal to each segment

Conducted customer interviews across segments to understand unmet needs and buying preferences and gauge their interest and concerns in dealing with a larger vendor

Formulated a market outlook based on primary and secondary research

Estimated a range of revenue synergies for the combined business and potential downsides

Result

With a detailed view on the potential for revenue synergies and downside risks, our client closed on the acquisition

Integration plans that were prepared following the project were focused on target customer segments to capture the revenue opportunity