Successfully planning and executing a business divestiture is far more challenging than most executives expect. When divesting a business, time is often short, unexpected stress and consequences arise, and value is easily leaked.
When planning corporate divestitures, sellers should be prepared to support their asking price with compelling financial data. They need to vet every aspect of the asset from financials to operations to ensure there are no surprises that could derail their strategy and damage their commitments to shareholders. Also, the better the seller can improve on the buyer’s financing opportunities and the better the seller communicates the company’s story, the smoother the sale should be. Our deal practitioners can help you avoid the pitfalls that sellers can fall into. They’ll also help you prepare for your divestiture so you can get the most for your business — and then quickly return to focusing on other business units in line with corporate strategy.