Skip to main content

Exit Readiness

Maximise your return on divestment

Value erosion can and does occur at various stages of a transaction. So how do you achieve the optimum value from a deal? Our Exit Readiness assessment helps identify issues early on, so they can be rectified before they impact deal value, helping you to realise the maximum return on your divestment.
Contact Us
2020 Global Divestiture Survey

The Challenge: Delivering on the Deal

In our recent Global Divesture Survey we identify the key challenges sellers now face in maximising value from corporate divestitures. Here is how Exit Readiness can help with the most pressing challenges.

  • Less time to deliver the deal - Time between decision and deal execution is decreasing (half of respondents said that their deals closed in 7-12 months), giving less time to optimise a business and address value leakage areas. Exit Readiness is a structured process that can help you make the most of the short time period to address value leakage.
  • Undervalued assets - 1/3 of recipients say the biggest hurdle to achieving a deal is obtaining acceptable value for their assets. Exit Readiness can help with this as it maximises deal value.
  • Value leakage - 45% of respondents are reactive when evaluating divestment opportunities and therefore do not address value leakage areas early on – this is where Exit Readiness can help.

How Exit Readiness can help

Exit Readiness is a holistic analytical approach built around three critical dimensions of the exit process. We use this to help you to:

  • Realise… potential pitfalls in your divestment strategy before they can impact the level of value you can achieve
  • Revive… your strategy with supportive qualitative analysis so you are in the best position possible to divest
  • Thrive… by achieving the maximum value as a result of your divestment

Establish value

As a seller, you need to be clear about divestment strategy - be clear about what, how and to whom you envisage divesting the asset to, e.g.:

  • Shape the story
  • Robust Financial performance
  • Clear Market opportunity
  • Defining buyer universe
  • Right Management in place

Enhance value

As a seller, you want to ensure that all value enhancing considerations are included in your equity story, e.g.:

  • Exit positioning
  • Business Plan presentation
  • Business Improvement / Performance Management
  • Balance Sheet Management
  • Capex planning
  • Operations & fit
  • Tax structuring
  • Technology performance
  • Robust Divestment progamme

Defend value

As a seller, you need to be prepared for the transaction process and get the basics right, e.g.:

  • Quality of information
  • Clear Commercial and market positioning
  • Mark performance
  • Tackle technology & infrastructure risk
  • Address Legal & Regulatory issues
  • Tax implications
  • Procedures, accounting & controls
  • SPA
  • Strong Process
  • Know deal breakers

Our thinking

IP Advisory: Deep value creation for media companies through Intangible Asset Management

This perspective looks at how an intangible asset management programme can help media companies consistently identify value, understand competitive positioning and market developments and manage associated risks.
Perspective
5 minute read

CEO compensation in a post-COVID-19 world

An exploration of executive pay amidst a global pandemic raises questions about fairness, alignment with stakeholders, and the responsibility of business to broader society.
Perspective
5 minute read

IP Advisory: Deep value creation for telecoms companies through Intangible Asset Management

This perspective looks at how a strategic intangible asset management program can help telecommunications companies consistently identify value, understand competitive positioning and market developments, and manage associated risks.
Perspective
4 minute read

Keeping Ahead of the Activists

In a series from Deloitte, we look at the growing phenomenon of Activist Investors in Europe and around the world, and how experiences from those who’ve been impacted by a campaign can help companies defend against or collaborate with Activist Investors.
Perspective
2 minute read

Mergers & Acquisitions

Read more

Get in touch

Jan Rattay

Partner
+44 (0)20 7303 8973

Mark Steele

Partner
+44 (0)78 6780 2886

Chris Sanden

Assistant Director
+44 (0)78 2586 4746