Sell Side Advisory

Due diligence and Valuation of a company is part of an examination which provides reasonable investigation on important matters and qualifies the financial value of a business. It helps to have a holistic approach when determining the metrics that are being utilized in understanding business and financial components in important transactions like Mergers and Acquisitions.

An M&A deal structure is one of the steps in a merger or acquisition. It is important to create a proper deal structure, taking the top-priority objectives of the parties involved into account. There are three well-known methods of M&A deal structuring: asset acquisition, stock purchase, and merger, each with its own merits and potential drawbacks for both parties in the proposed deal. A proper deal structure will lead to a successful merger or acquisition deal.

The final aspect of many merger/sale transactions is the fairness opinion. A fairness opinion involves a total review of a transaction from a financial point of view. Africorn Advisory will look at pricing, terms and consideration received in the context of the market for similar companies. Afrocorn Advisory will then opine that the transaction is fair, from a financial point of view and from the perspective of minority shareholders. We will strive to ensure that your fairness opinion will be based upon at least the following five considerations:

1. Financial performance and factors impacting earnings.
2. Dividend-paying history and capacity.
3. Pricing of similar transactions.
4. A review of the investment characteristics of the consideration to be received.
5. A review of the merger agreement and its terms.