Showing posts with label Mergers. Show all posts
Showing posts with label Mergers. Show all posts

Tuesday, 27 February 2018

6 Traits of the Companies for Fast Track Global Expansion


#Business, #CorporateFinance #JointVentures #Mergers #Acquisitions #InternationalBusiness

In the global market we live in today, companies like Google and Apple make it look easy to expand internationally with success. What is unknown to most be the amount of competition and strategy that goes into these expansions? Big names like Redbull, Google, Amazon, and H&M are just a few companies that have mastered their global marketing strategies and expanded beyond their initial customer bases. What are these companies doing differently that is leading them to success?

Value Opportunity to Expand

Diving into the unknown can deter a lot of companies from even taking the opportunity to expand their market. Those that see it as a negative opportunity are losing out on an even larger customer base that they could be profiting from. High-growth companies view international markets as untapped markets full of potential. These are the companies that become successful on a higher scale than those that stunt the growth of their company by not seeing the value in this opportunity.

Understand Different Cultures

American companies that have a strong presence internationally often have a founder or leading executive on their team who is from a foreign country or a first-generation American. These executives’ worldly experience helps prioritize the global market and answer any unknowns. Companies without this knowledge should research and understand the different cultures they are tapping into in order to be successful in not only building key relationships that will open up doors down the road, but connecting with the right consumers as well. Companies that adopt an outside perspective will have a more globally focused marketing strategy, better cultural understanding and have a wider scope of expansion goals, making it easier to propel their business outside of their home market.

Turbo-charged by the Internet

Companies that invest in the Internet and produce web-based products are more likely to grow globally because there is less money involved in their international expansion. The most successful of these businesses is Amazon. This company is solely based on the Internet and was able to reach a global market with ease. H&M is an apparel company that has already been successful in reaching their international consumers through not only stores, but by optimizing the online experience of their online store. With an online shop available in 21 markets, including the US, H&M is doing everything in its power to create a user and mobile-friendly online shopping experience.

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Carefully Chosen International Business Development Partners

Choosing the right partners to help you grow your company in other countries is vital. Without the right people to vouch for you in that country and build trust with the consumers, becoming the market leader could be close to impossible. Again, this means companies must be aware of different cultures and business practices among countries in order to connect, be efficient, and stay on the same page. Apple made a strategic partnership with China Mobile, the largest wireless network in the world. This partnership enabled Apple to become the number one Smartphone maker in China and beat out the previously dominating five local competitors. Before becoming business partners, know what you want and have clear expectations. Sticking with these goals will help you choose the right partners and tap into the right markets.

Measure Success

When expanding to other countries it is important to keep track of the success and make sure it is worth the company’s resources. Companies that are successful outside their home base are those that act fast. By keeping track of their numbers, they can act fast and learn from failures. By reevaluating the current strategy and finding new ways to innovate, it becomes easier to reap the benefits of the company’s successes.

Think Globally

The most essential characteristic of any successful international business is implementing a global way of thinking. If this is the main thought process behind a company’s decisions, the rest of their international marketing strategies can be implemented with ease. One company that has mastered their international strategy is Redbull. They have created such a global brand that most think that it is from America or their home country, yet Redbull calls Austria home. Its most successful tactic has been to host extreme sports events all over the world. From the Red Bull Indianapolis Grand Prix to the Red Bull Soapbox Race in Jordan, the brand’s powerful event marketing strategy takes them all over the globe and makes their brand an international product.

If companies support and welcome globalization, it becomes intertwined with their culture. Employees become globally-minded, engineers build software with other countries in mind, and the rest of the team follows. Going global is the key to ensuring your company’s growth and future is indomitable.


Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of Investment Banking, Corporate Financing, M&A advisoryJoint Venture AdvisoryPrivate EquityDebt Financing  and  International Business Development.  These Services leverages insights,  relationships and a culture that emphasizes a strong orientation towards excellence.
 For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.  



Tuesday, 20 February 2018

ALCORs Growth Solutions for Business Helps Corporate Companies in the Areas of Investment Banking, M&A, Private Equity and Corporate Finance.

ALCOR provides a one-stop solution in Investment Banking with world-class corporations and companies as its clientele. ALCOR expertise spans the spectrum of finance - Mergers & Acquisitions, Equity Financing, Debt Financing, ECB, Financial restructuring, and investment banking advisory. ALCOR has footprints across the globe and an extensive presence in India with over 48 regional offices. ALCOR serves a wide cross-section of verticals, some of which are the following: Automotive, Power, Telecom, Electronics, Software, Real Estate, and Education.
True to its global stature as a leader, ALCOR's business philosophy is driven by highest levels of integrity and honesty at the heart of business. ALCOR obeys and complies with the rules of the land. ALCOR’s erudite Directors are from Harvard, Oxford and other prestigious institutions. The execution Team comprises of internationally reputed and highly experienced finance personnel.
ALCOR leverages its strong global footprint and the value of its international board of advisors to provide its clients with high growth transactions across the globe. We use our international deal-making experience to deliver customized advice to clients on each transaction. We assist clients in evaluating international and domestic Acquisitions and Joint Ventures. Global Fortune 500 companies work with ALCOR to assess suitable targets across the globe for market entry or market share expansion. ALCOR solutions include Mergers & Acquisitions, sell side, & buy side advisory, leveraged buyouts & other types of corporate restructuring. Standing aloft with over a 100 man-years in cross-border M&A advisory & independent research & experience, ALCOR, delivers maximum value from their transactions. ALCOR understands the clients' unique business needs, keeping their objectives a top priority. We work with our clients closely, often over five years, to help the client realize the value of their value creation strategy. ALCOR's wide range of product offerings are tailor-made to suit client growth requirements
ALCOR worldwide team allows for targeted search, scenario mapping, synergy realization, and detailed road map with experience-driven cross-border M&A advisory that can be customized with minority buy-in, acquisitions, or even a 50:50 joint venture.
ALCOR uses strategic tools such as the Balanced Scorecard with tailored precision to define the following -
  • Core defense
  • Global customer revenue model
  • Strategic high growth market entry.
  • 360-degree growth model
  • Intangible value proposition .Core foundation pillars
  • Evolved value chain integration.Low cost global value partnerships and several other strategies.
Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisoryJoint Venture AdvisoryFinancial Advisory,  Private EquityDebt Financing  and International Business Development. These services leverages insights, relationships and a culture that emphasizes a strong orientation towards excellence.
For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.




Monday, 15 January 2018

ALCOR MNA Provides SME Fund as one of the Funding Options to Raise Capital for Your Business

ALCOR’s SME Fund invests in new or existing SME companies in emerging markets to fund seed capital or growth capital in the range of USD 250,000 to USD 10 Million.

Raising seed capital for a start-up company is challenging. Many seed funds are affiliated with a technology or an innovation, however, we at ALCOR understand the requirement of new technology or process in today’s contemporary world and potential revenues coupled with higher value returns. For leveraging the opportunity, ALCOR normally provides early capital ranging from USD 250,000 to USD 2 Million where a gestation period is 12 to 18 months.For well-established companies, ALCOR provides a tailored funding plan specifically designed to suit the client’s needs. We will work closely with the management team for several weeks to review the business plan and the strategic capital funding approach. ALCOR will provide the most advantageous deal and valuation for the investment offer and help the company grow multifold.


Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisoryJoint Venture AdvisoryFinancial Advisory,  Private Equity, Debt Financing  and International Business Development. These services leverages insights, relationships and a culture that emphasizes a strong orientation towards excellence.

For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.



Wednesday, 20 December 2017

Paytm Acquires Nearbuy and Little, to Merge both - Expect A Busy 2018 On The M & A Front


Paytm on Wednesday announced the acquisition of Nearbuy and Little, two deals platforms that focus on local restaurants as well as commercial establishments. In a statement, Paytm said it arranged a merger of the two well-funded start-ups and made a “strategic” investment in the resultant entity for a majority stake. Sequoia Capital India, a large investor in Nearbuy (formerly Groupon India), continues to be a shareholder in the merged entity. Paytm did not say whether Sequoia sold a part of its investment in Nearbuy to Paytm Nearbuy, which was founded as SoSasta, was acquired by NASDAQ-listed Groupon Inc. in 2011.The company was later renamed as Groupon India, in 2013.In 2015, Sequoia Capital India and the current chief executive officer (CEO) Ankur Warikoo bought a majority stake from the US-based parent of the firm and named it Nearbuy.Little app (Little Internet Pvt. Ltd), on the other hand, was launched in 2015 with initial backing from Paytm, which wanted to test the waters in the hyperlocal deals business.The app started with a $50 million investment from Paytm, SAIF Partners and Tiger Global Management (SAIF is also a large minority shareholder in Paytm).


After a somewhat choppy 2017, many experts are calling for a busy 2018 in the M&A space. The Predictions and Reports suggests that the pace of M&A activity will increase in 2018, based in large part on “a combination of gradual acceleration in global economic growth, low inflation in advanced and emerging economies, buoyant asset markets and low-interest rates that continue to bolster the M&A markets.”  While there are concerns that could impact the potential increase in deal flow (such as a rise in economic protectionism or a global equity sell-off) the prevailing view is that the positive conditions for M&A activity will continue to rule the day and drive increasing deal making.

One of  M and A Experts says “The State of the Deal-M&A Trends 2018” report takes a similar view. The report, based on a survey of business executives, notes that a significant majority of respondents expect M&A deal flow to increase over the next 12 months, while deal size is expected to increase as well.  The report cites acquiring technology, expanding customer base in existing markets and expanding/diversifying products and services as the leading drivers for M&A deals.  Among other positive factors, the report notes that cash reserves are up significantly at potential acquirers, and that the primary intended use of that cash is for acquisitions.


Family-owned businesses should see an uptick in M&A interest as we move into 2018.
Buyers are always on the watch for well-run businesses with quality earnings and customer bases.  Family-owned businesses that are looking to grow should see an opportunity to acquire other businesses.  Those businesses that want to take advantage of a favourable market should start to take steps now to prepare, by working with management and advisors to get the business “in shape” for a transaction.  Several upcoming posts on this blog will discuss specific items that come up in almost every deal and steps business owners can take to prepare for a sale, such as dealing with financial statements, contracts management and HR/ERISA issues.


Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisoryJoint Venture AdvisoryFinancial Advisory,  Private Equity, Debt Financing  and International Business Development. These services leverages insights, relationships and a culture that emphasizes a strong orientation towards excellence.

For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.



                                                                     




Monday, 27 November 2017

MANAGING HUMAN RESOURCES IN MERGERS AND ACQUISITIONS


Different businesses use tools of mergers and acquisitions for achieving organizational objectives. Business tools that have substantial impacts on the staff members of the company at every individual stage as two companies attempt to amalgamate into one. A merger is the fusion of two or more diverse organizations under one owner and administration structure. On the other hand, an acquisition is the procedure of one business entity acquiring other entity’s control by purchasing or stock swapping or any other method.


Mostly it has been found that around 70 to 90 percent of all Mergers & Acquisitions are failing to complete their projected and financial objectives. Often, this failure rate is contributed to several Human Resource related factors including management styles, loss of key talent, diminished trust, clashing cultures, poor motivation, lack of communication, and uncertainty of long-term goals. The significance of managing public issues in M&A context and highlighting the HR professionals’ role is the main thing to know about. These professionals are adept at identifying solutions, recognizing potential problems, and persuading management to adopt them. There are five stages of merger or acquisition transaction as well as different business cases of M&A. It deals with the major issues which should be managed in an attempt to help HR professional in tackling challenges and practical M&A transactions realities including:

·         Creation of new-fangled policies for guiding newer organization
·         Retention of chief employees
·         Selection as well as downsizing of an employee
·         Growth of compensation strategies
·         Making complete employee advantages program


Human Resource Role in Merger & Acquisitions Transactions

Usually, the deliberation of merger or acquisition comes along with mixed feelings such as fear, enthusiasm, excitement, uncertainty, and resistance. These expressive reactions might arise at each company level. How the company deals with its staff members during, before and after transaction might have determined the impact on the operation success. Mergers and acquisitions both present considerable challenges to Human Resource professionals. The M&A process needs administration of both companies for considering all allegations of a recommend merger or acquisition ahead of agreeing to one which is unavoidably engaged in discussing public issues generated by proposed merger or acquisition. Often, Human Resource professionals are employed in the method by management advice on the matters of the human resource using surveys and several other metrics for gathering significant data, recognizing potential conflicts among two organizations, company cultures after merger & acquisition, integrating Human Resource practices and supervising several talent decisions like layoffs.

Moreover, issues related to cultural compatibility often occur while bringing collectively two or more cultures in the process of Merger & Acquisitions. Because culture includes assumptions and beliefs shared by employees of the company and manipulates all group life areas, the integration of Merger & Acquisitions always has misalignment a degree, despite perceived comparability between two organizations. And cultural clashes might influence essential M&A outcomes, focus on cultural alignment has been recognized as the major challenge in  Merger & Acquisition transactions.


Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of  M&A advisory, Joint Venture AdvisoryFinancial AdvisoryPrivate Equity,   Debt Financing  and  International Business Development. These Services  leverages insights,  relationships and a culture that emphasizes a strong orientation towards excellence.

For additional information on how ALCOR MNA can help you Grow your Company, Complete the Enquiry form One of our representatives will contact you within one business day.  

  

Monday, 13 November 2017

M&A Planning and Due Diligence Execution

As with any major asset acquisition, the acquisition of an organization, or just some of the assets in this, needs a major coming up with method. Most firms have an outlined approval method for major expenditures, as well as the outline, business justification, monetary necessities and expected come on Investment (ROI). Mergers and Acquisitions, however, typically appear to fall outside of this basic method. M&A coming up with begins with the event of the business set up that identifies the strategic explanation for a sale of assets or firms. The set up identifies the business purpose, market, size, finance methodology, and ensuing business edges.

Generally, with plus purchases within the traditional course of business, all of the pertinent data is obtainable before the request for approval is ready. By comparison, abundant of the ultimate M&A data isn't offered till when the acquisition method has begun. This data is set through the initial due diligence inquiry requested from the vendor. The M&A skilled typically develops Associate in Nursing initial due diligence listing to solicit data from the potential targets that were known supported the strategic criteria. Several checklists are offered that give specific queries for the industry/market of the vendor that are on the far side the final monetary and publically offered information. The stress is to get adequate data to see the finalists within the search, to make a Letter of Interest to ascertain an initial worth vary if requested. The initial due diligence ought to be comprehensive, however shouldn't be thus thorough that it slows down the choice method.


A system ought to be in situ to permit scrutiny and contrastive the data that the Targets give in response to the Request for data. The client should rigorously valuate the necessity sure essential information, if the seller’s data is incomplete or unclear. The latter could result as a result of theirs seller’s reluctance to disclose data he deems confidential. He can get to be convinced of its essential nature to the client, even though it's during a redacted format. The seller’s estimates on revenue growth, market size, competitive position, and technological benefits ought to even be completely evaluated so as to gage its accuracy. This might need assessing the premises that the vendor employed in developing the estimates. Whereas the client might need to believe the vendor, such estimates ought to be corroborated by the vendor or through a 3rd party references.

The seller ought to be requested to affirm compliance with audited account coverage, tax filings and audits for all relevant jurisdictions, and alternative restrictive necessities. The seller’s title to all or any assets ought to be verified, significantly chartered assets. With correct answers to the Request for data and therefore the follow-up clarification queries, the client ought to have a fairly correct means that for down-selecting the Targets to a listing of finalists. Having a decent set up at the terribly starting and capital punishment thereon is that the opening moves to M&A success.


A specialty software package company, through a series of product acquisitions, was ready to expand their customer’s narrowly centered offerings by providing a full suite of promoting software package. These acquisitions additionally allowed the client to enter new end-user market segments, each domestically and internationally. This acquisition provided core competencies outside of the bottom technology and allowed new penetration, whereas denying this market phase to the competition.

Moreover, every acquisition can gift issues and opportunities. The most effective manner for achievement is to possess an outlined acquisition strategy, and exceptionally elaborated due diligence. Reassuring that the acquisition Target meets the outlined necessities is most important. Trailing the infinite due diligence matters is imperative. Utilizing a comprehensive M&A software package application assures that each one of those matters are captured, documented and properly vetted to maximize the likelihood of success. A specialty software company, through a series of product acquisitions, was able to expand their customer’s narrowly focused offerings by providing a full suite of marketing software. These acquisitions also allowed the buyer to enter new end-user market segments, both domestically and internationally. The buyer also acquired a company with similar product offerings, but utilizing a different technology. This acquisition provided core competencies outside of the base technology and allowed new market penetration, while denying this market segment to the competition.


 Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisoryJoint Venture AdvisoryFinancial AdvisoryPrivate Equity,  Debt Financing and International Business Development. These Services  leverages insights,   relationships and a culture that emphasizes a strong orientation towards excellence.



For additional information on how ALCOR MNA can help you Grow your Company,Complete the Enquiry form One of our representatives will contact you within one business day.  


  



Friday, 3 November 2017

Current Trends in Mergers and Acquisitions


Most of today’s Merger and Acquisition activity is conducted victimization processes that, whereas still adequate, don't profit of current technology. Whereas experience is very necessary, the dimensions and scope of today’s transactions need an elementary shift to a team approach with a comprehensive and repeatable M&A method utilizing a proper methodology. As always, the time to finish the dealing and absolutely integrate it into the corporate may be a compelling pressure. This component of timeliness is honeycombed against the additional extremely advanced transactions of current M&A activity. As such, the need for a proper, comprehensive M&A methodology and disciplined method has become more obligatory. Serial acquirers have to be compelled to implement state of the art tools and processes that give the M&A professionals suggests that to with efficiency conduct many, synchronic acquisitions and integrations. And therefore the multiple groups managing Associate in Nursing implementing the varied aspects of dealing need access to and an understanding of the full method, whereas acting on only 1 part or issue of a project.

A Secure Virtual information space provides a repository for trailing documents, worksheets, and comments. But, it doesn't give a strategy or method to be followed for the due diligence. The benefits of automating in depth due diligence method are currently being recognized. Today’s customizable, machine-driven M&A method systems enable the transfer of data and therefore the reviewer’s comments. Additionally, the technology ensures management of the method, and trailing of the transaction’s progress and resource utilization. Also, the cooperative side of those systems permits time sensitive info to be shared with internal and external team members for fast issue resolution.


By implementing a classy M&A computer code, team members will master specific aspects of the method while not changing into specialists within the full vary of M&A problems and topics. Multiple M&A deals, at numerous stages within the M&A method, is also summarized, reviewed and managed additional completely and effectively. among these M&A systems, Gantt chart programming of resources is planned, monitored and changed as necessary. Personnel schedule coming up with and management of scarce resources area unit maximized. Critical, timely management reports on multiple transactions area unit expedited, with drill-down capability to specific issues areas or issues. The flexibleness of the system’s platform permits high quality for all team members, thereby providing the flexibility to be in constant contact with others appointed to the project. Outside professionals, money consultants and technical specialists are perpetually necessary to supply input to the M&A method. Secure M&A package systems enable every of those specialists to participate within the method by sharing within the deal’s confidential, personal communication network.

These new M&A package systems utilizing current technology enable the M&A professionals to extend the effectiveness and span of their data and talent. Team coaching is additional economical and in keeping with the company M&A methodology. The team member’s work will thereby be effectively managed against standards and timelines. And significantly, completed M&A comes is brought on-line quicker and among budget.


Mergers and acquisitions tend to run in inevitable patterns. Within the early stages of the M&A market, mega deals area unit typically transactions that occur as a results of consolidation within the market during which the corporate competes. Valuations are at the start affordable, with the buyer’s objective of enhanced market share or dominance being the actuation. Even with high multiples on the seller’s business, consumers presently area unit able to secure debt at overrun 5 times Earnings before Interest, Taxes, Depreciation and Amortization (EBITDA). Still, the Board of the acquirer can specialize in deal valuation. And, the strength of the business executive and Board’s business confidence, regulative pressures, economic and political patterns, growth in Gross Domestic Product (GDP), price of capital and equity market stability area unit all factors in deal activity levels.

In the past many years firms have veteran weak sales growth. This has diode to a spotlight on Mergers and Acquisitions as a method to re-engineer that growth. The rise in middle market deals indicates that acquirer’s is willing to speculate their benefit firms that might generate enhanced sales and profits within the long-run. On the converse, aspect firms area unit proactively optimizing their business portfolios. Supported major foreign and U.S. Equity Market indices, firms can feel pressure to deliver on growth expectations in each their stock worth and their price/earnings multiples.



Alcor M&A is a leading advisory firm providing financial services with an emphasis on customized solutions in the areas of M&A advisoryJoint Venture AdvisoryFinancial AdvisoryPrivate Equity,  Debt Financing and International Business Development. These Services  leverages insights,   relationships and a culture that emphasizes a strong orientation towards excellence.

For additional information on how ALCOR MNA can help you Grow your Company,Complete the Enquiry form One of our representatives will contact you within one business day.