Energy & utility transactions
Advice on German utility acquisition
A top 10 German utility company preparing for the acquisition of a midsized, integrated utility company in Germany required external assistance in the assessment of key industrial and financial hurdles. We assembled a small due diligence team that carried out a rigorous analysis of industry-wide and transaction-specific factors affecting current and future value. We brought together experts with strong industry experience and insights as well as the cultural knowledge to understand the prospective purchaser’s approach. Our ability to blend information about the structure and composition of the targeted business into the context of general energy trends proved a substantial support in aiding the purchaser’s decisions on carrying out the deal with an adequate valuation approach.
Support for German utility development plan
The municipal shareholders and the management of a large German regional utility faced the challenge of drawing up value-creating options for future development in the light of significant changes in the market environment. A number of important aspects for the municipality (e.g. local jobs, taxes, municipal finance situation etc.) had to be taken into account. We produced a detailed assessment of all possible options for value creating transactions, including stepped-up privatisation, portfolio optimisation with disposal of non-core assets, and various opportunities for alliances. The results were combined into an integrated five year development plan. We have been supporting the municipal utility in implementation of the first transactions.
Move into UK by European utility company
A leading European utility seeking a pan-European approach for its energy business asked for assistance regarding expansion into the UK energy market. The aim was to benefit from the UK’s relative openness for foreign investors and also from some advanced sectoral skills to be found among UK-based utility companies. We assessed several possible targets in terms of strategic fit and attractiveness regarding valuation and other factors. We followed up by investigating in discreet fashion the targeted companies’ openness towards possible transactions. The results of these assessments were integrated into a comprehensive market development strategy involving transactions. We also supported the purchaser in related due diligence processes and with valuation scenarios.