Detailed description of activities within our scope of services

Financial analysis and company valuation

Financial analysis and company valuation

  • Some of the reasons for valuation include preparation for recapitalization or sale, exit of one of the partners from ownership, pledging shares as collaterals, etc.
  • Fundamental valuation method is based on discounted future cash flows (DCF method) requiring detailed projections of income statement, balance sheet and cash flow
  • Methods used to check soundness of results received from DFC method most often include valuation based on trading multiples and transaction multiples
Conducting due diligence

Conducting due diligence

  • Detailed analysis of revenue and costs
  • Detailed analysis of assets (receivables, inventory, long term tangible and intangible assets)
  • Detailed analysis of liabilities (suppliers, state, creditors, other liabilities)
  • Determination of profit margins per product and service categories, seasonality, anomalies and normalization of operating profit
  • Analysis of cash flow
  • Quality of accounting practices
  • Identification of tax risks
  • Identification of legal risks
Company Sale or Recapitalization by Strategic or Financial Investor

Company Sale or Recapitalization by Strategic or Financial Investor

  • Project management and financial advisory in sale process including:
    • Transaction structuring
    • Preparation of teaser and information memorandum for investors
    • Valuation of business
    • Identification and communication with potential investors
    • Analysis of non-binding offers (term sheets)
    • Organization of due diligence
    • Advisory during negotiation phase
    • Assistance in fulfillment of conditions precedent
    • Transaction closing
Financial restructuring

Financial restructuring

  • Preparation of detailed financial model with business projections in different scenarios
  • Identification of areas and measures for cost optimization, treatment of non-operating assets and other measures needed to improve company’s cash flow
  • Presenting restructuring plan to creditors and debt restructuring
  • Bringing investors to perform recapitalization and/or refinancing of existing liabilities
Company acquisition

Company acquisition

  • Project management and financial advisory in acquisition process including:
    • Identification of appropriate targets
    • Analysis of targets and initial valuation
    • Structuring and preparation of term sheet (non-binding bid)
    • Performing financial and tax due diligence
    • Coordinating work of other advisors on transaction
    • Preparation of final valuation
    • Advisory during post due diligence negotiation
Evaluation of strategic options

Evaluation of strategic options

  • Entrance of strategic or financial investor in company's ownership structure
  • Sale of a company
  • Acquisition of other businesses
  • Choosing financing structure (debt vs equity)
  • Debt restructuring / refinancing
  • Merging companies from the same group into a single legal entity or spinning off part of existing business into separate legal entity
  • Transfer of ownership between related companies and/or private individuals
  • Treatment of non-operating assets
  • Investments in production or distribution facilities including enlargement or change in product and service portfolio
  • Modeling and simulation of different scenarios of business development with quantified effects on company's projected income statement, balance sheet and cash flow

Write to us


SKY OFFICE / 11th floor, Roberta Frangeša Mihanovića 9, Zagreb, Croatia