To assist a large-cap private equity fund on its potential acquisition of a major UK business process outsourcer that provides key administrative services to a FTSE-100 client base. The company in question had been owned for over eight years by the same fund and, while it had growth through acquisitions, it had seen significant management change – a total of four CEOs and five CFOs – as it had struggled to generate organic growth and seen profits stagnate over several years.
As the company’s strategy and organisational structure had changed several times, our client was concerned that some of the corporate memory and culture had been impaired. Against this backdrop, Skillcapital was hired to assist its client in assessing the investment opportunity’s attractiveness. The focus of our work was to evaluate the incumbent management team’s qualities and how well they were working together and whether the business was on the right growth path.
Armed with the results of our diligence work, our client decided to withdraw from the sales process. After running a full sale process, the shareholders decided to list the company on the London Stock Exchange.