Commercial and technical due diligence of an integrated fixed and mobile operator
Opportunity study and due diligence of an integrated fixed and mobile operator
Business challenge
On behalf of a private equity fund, we conducted a commercial and technical due diligence in order to assess the opportunity of bidding for an integrated fixed and mobile player operating in several markets.
This company faced important changes in its business due to the 2009-2010 economic downturn. The objectives of this project were to anticipate the more likely competition scenarios in relevant markets, and to assess the company’s strengths and weaknesses for its next stage of development.
Approach
TERA Consulting carried out the following:
- market demand assessment and competitive environment analysis,
- recent performance assessment at commercial and technical levels,
- future market trends analysis, and assessment of their impact on key business drivers,
- technical audit analysis and site visits (done with a partner firm),
- preparation of an updated business plan (the ‘Base Case’) and analysis of key sensitivitis.
Results
An initial report was provided by TERA indicating the customer’s interest in purchasing this operator. TERA produced the full assessment report of the operator in the due diligence process, which became a key element in the valuing of the operator. The Due Diligence report was submitted to the potential lenders to finance the transaction. Our client particularly appreciated TERA’s ability to deliver relevant and timely input, helping it move forward with its decision-making process.
Expertise:
Opportunity study – Due diligence
Client:
Mobile operator
