Roland Berger's due diligence tally nears 1,300 in three years

09 September 2019 Consultancy.eu

In the past three years, the Merger & Acquisition practice of Roland Berger has supported nearly 1,300 due diligence projects. 

The Corporate Finance practice of Roland Berger supports clients worldwide with a range of M&A-related services, including strategic work, due diligence, and integration planning. In the due diligence space, the firm’s consultants are predominantly active in two areas: commercial due diligence and operational due diligence. 

A commercial due diligence (CDD) is conducted by a corporation or private equity firm prior to the negotiation phase, and provides a detailed insight into the commercial attractiveness of a target. The analysis sheds light on the target's internal and external environment, highlighting potential threats and opportunities, and provides a deep understanding of the target company's position. Factors looked at include the attractiveness and sustainability of a business model, the likelihood of future cash flows and financial forecasts, and potential commercial synergies and risks following a merger / acquisition.

Roland Berger’s due diligence track record

An operational due diligence (ODD) meanwhile looks at all operational aspects of a target organisation, including topics such as supply chain and manufacturing vulnerability, IT infrastructure and cybersecurity, the robustness of internal operations & processes, and the HR organisation. Operational due diligence studies also scrutinise topics such as the composition and nature of the cost structure, capital expenditures and risk management, as well as the impact of the deal on potential performance improvement and synergy plans. 

Due diligence track record

Analysis of Roland Berger’s dealmaking database shows that the firm’s French country team has been involved with over 320 CDDs and ODDs in the past 36 months, surprisingly outranking its German team in deal volume. The DACH region, comprising the M&A team’s of Germany, Austria and Switzerland, contributed to 288 deals in the period, with the Benelux – the Netherlands, Belgium and Luxembourg – and UK teams also enjoying over 100 successfully closed deals on their books. 

In Asia, Roland Berger completed 137 deals in the period, with a focus on automotive. The consulting firm serves the region through offices in eight countries: Indonesia, Malaysia, Myanmar, Singapore, Thailand, Japan, South Korea and China. The Nordics, North America and Italy are other key M&A markets for the consultancy, with all three regions adding over 50 deals to the total. 

Roland Berger’s Corporate Finance practice is led by Germany-based senior partner Sascha Haghani and France-based senior partner Olivier de Panafieu. 

Other types of due diligence projects include: financial due diligence (FDD – focus on financials), IT due diligence (ITDD – focus on the IT environment), human capital due diligence (HCDD – analysis of human capital), and an intellectual capital due diligence (ICDD – focus on intellectual capital and property).