TriVista identifies 250bps EBITDA improvement for private equity firm via Quality Of Operations® Due Diligence

Project Scope

A $700M Private Equity fund was interested in acquiring a $100M industrial components manufacturer with a U.S. and Greater China footprint. TriVista was retained to provide Quality of Operations® Due Diligence support to assess the business’ supply chain operations and determine potential savings.

Our Approach

  •  Mobilize multiple project teams in several regions to work concurrently
  •  Daily communication with investors highlighted critical risks that could stop the transaction
  •  Assessed sales, operations and inventory planning processes
  •  Conducted benchmark assessments of company’s production facilities
  •  Conducted detailed data room analysis to assess inventory, logistics and transportation costs and labor productivity
  •  Conducted extensive interviews with company leadership
  •  Identified operational redundancies and post-close improvement opportunities

Results Delivered

  •  Identified EBITDA expansion opportunities of $2.5M
  •  Identified Working Capital Improvement opportunities of $7.5M
  •  Retained by client, post-close, to implement improvement opportunities and realize cost savings
  •  Performed additional Quality of Operations® Due Diligence engagements for bolt-on acquisitions