Divest a significant piece of its business to align with business strategy
- Recent acquisitions were not integrated successfully, synergies were not realized and strategic fit was in question.
- Executive leadership was changing, and new leaders had new ideas about future strategies.
- The company needed to reduce its overall cost structure and deal with complex tax issues inherent in the sale.
Prepare and present a solid divestiture plan by:
- Assembling a team of advisors across Deals, Tax, Finance, HR, and SG&A to analyze carve-out issues from every angle.
- Teaming with company leaders to understand the financial realities of the carve-out entity.
- Crafting a credible divestiture presentation to open the door to successful negotiations with potential buyers.
Impact on client’s business
- The company conveyed over $150 million in accretive value.
- It reduced its clawback tax exposure by $500 million.
- The sale was successfully completed, with no surprises.