Operational Due Diligence: USA & China
Identifying Risk & Value Creation Opportunities in a Cross-Border Deal
The Business Challenge
A $700 Million Private Equity fund was interested in acquiring a $100 Million industrial components manufacturer with a US and China presence. Given their limited experience in cross-border deals, the PEG retained TriVista to conduct a detailed Operational Due Diligence in both the US & China.
TriVista mobilized project teams in China and North America to simultaneously assess operational capabilities and weaknesses throughout the organization. TriVista worked directly with the target acquisition, adhering to strict requirements of confidentiality and investigative rapport surrounding the sensitivity of the transaction. TriVista’s due diligence included the following key areas of operations through data room analysis, personal interviews, and onsite observation/ fact checking:
- Operational Leadership & Management Skillsets
- Engineering & New Product Development
- S&OP & Inventory Management
- Sourcing & Supply Chain Management
- Continuous Improvement Programs
Daily communication with investors highlighted critical risks that could halt the transaction. TriVista’s global team collaboratively produced… To read the full case study and learn about TriVista’s impact, please download the full case study to the right.