Commercial Due Diligence on an Agriculture company

Situation

We conducted a Commercial Due Diligence for a strategic investment into an Agriculture company.

Given the target’s niche market segment, it was important for us to gain an in-depth understanding of the market segment as well as the competitive landscape.

Approach

• Gathered market insights through primary interviews with industry players to ascertain the market potential along the agriculture value chain.
• Performed detailed benchmarking of key competitors to identify key success factors of leading players in the market.
• Identified growth upside potential of the business, key risks and mitigating strategies.

Impact

• Based on market insights and the competitive landscape, we evaluated the target’s growth potential and investment attractiveness.
• The Commercial Due Diligence was part of an Integrated Due Diligence including Financial and Tax Due Diligence on the target. We assessed the target’s sources of competitive advantage, threats and sustainability of future performance vis-à-vis the market and competitive landscape.
• Identified future growth opportunities for the target and proposed strategic initiatives to achieve growth plans.