Fairness Opinion Study of a European Software Company
For a digital printing company
- A Belgium digital printing company was looking to diversify into different business areas and expand to other European markets.
- As part of its inorganic growth strategy, the client was looking to acquire a European software company developing software tools for labels and packaging and serving customers through a global network of distributors.
- It mandated RocSearch to undertake a fairness opinion and valuation for the target company.
To undertake a fairness opinion study and valuation for a target acquisition company
The client outlined two key reasons for selecting RocSearch:
- Our ability to rapidly deploy a customised financial research team.
- Our flexible client-centric engagement models.
Approach and Methodology
- We deployed a team of financial research experts to carry out a detailed assessment of the target company’s business and financials.
- We also created a Football Field Analysis to arrive at the valuation range.
For conducting the valuation we deployed a range of methodologies such as: Discounted Cash Flows (DCF), Relative Valuation (RV) including Precedent Transactions and Trading Comparables (Comps).
- Insights on the operations of the target software company and a detailed valuation assessment.
- Conclusions of the Fairness Opinion Study enabled the client to successfully close the deal.
Based on the fairness opinion study the client was able to close the deal successfully within a three month period.