Transaction Advisory Team Experience in Canada
Experienced in Transaction Advisory
Our Transaction Advisory Service team has significant experience providing transaction support and advice to strategic acquirers, private equity firms, alternate lenders, high growth businesses, pension funds and high net worth investors. This experience includes providing support to transactions in the SME space to large public company deals across a range of industries including manufacturing, retail, technology, healthcare, real estate, mining and the service sector. Over the last five years, TAS leadership has provided due diligence support on transactions aggregating in excess of $400mn.
The following illustrates some of the transactions that we have provided support on:
- US based diversified global entity’s acquisition of a Canadian defense related products manufacturer. Key transaction issues addressed included the sustainability of the target’s contracts with US and Canadian governments, foreign exchange risks, inventory valuation, quality of gross margin and evaluating the working capital peg.
- Canadian private equity firm’s proposed acquisition of a US based healthcare service provider. Key transaction issues included quality of earnings, regulatory issues, contingencies and revenue growth rates.
- Acquisitions of multiple engineering service firms in the US and Canada by strategic acquirers; due diligence assisted on evaluating quality of contract backlogs, sustainability of labor multiples, contingencies and related party transactions.
- Canadian private equity firm’s acquisition of a US based tier II automotive manufacturer. Due diligence identified significant adjustments to quality of earnings and assets arising from inventory valuation, revenue recognition, carve out issues, foreign exchange exposure, maintenance capex, supplier reconciliations and employee termination benefits. Negotiated with vendor management team on quality of earnings adjustments.
- Acquisition of numerous Canadian and US based mining companies with mining assets in North America, South America and Africa. Financial due diligence focused on quality of earnings, extraction costs, head office cost savings, employee termination liabilities, royalty agreements, commodity price and US dollar trends, maintenance capex and forecast analysis.
- US based strategic acquirer’s purchase of a Canadian tier II supplier to the aerospace industry; key transaction issues identified included customer concentration, inventory valuation issues, quality of earnings, financial reporting deficiencies, working capital peg and post transaction integration issues.
- Acquisition of a major US fast food franchisee with multiple retail outlets across three states; key due diligence issues identified included underperforming retail outlets, lease obligations, capital expenditures, franchisor liabilities and potential labor costs increases.
- Proposed acquisition of a major Canadian real estate owner and developer (commercial) by a US based strategic acquirer.
- Due diligence on potential borrowers on behalf of alternate debt capital providers – due diligence focused on debt servicing capabilities, exit evaluation, shareholder contribution, quality of traditional and non traditional collateral, related party transactions and tax related liabilities.
- Supporting an international mining infrastructure supplier’s successful bid for government grant in connection with a multi-million dollar investment in Canada.
- Preparation of confidential information memorandums for various companies in the IT and healthcare sector with a focus on quality of forecasted revenue and earnings, growth opportunities and exit values for potential investors.