Investment Strategy and Due Diligence

The issue

A major player in the aerospace sector was reviewing its long term strategic options and was seeking both market intelligence and M&A due diligence on specific sub sectors of the aerospace and defence industries.

Our approach

PwC was appointed to assist in developing a growth strategy that would enable the company to maintain its current industry position and build new leadership positions in attractive niches.

A Transaction Services team worked with the company’s management to understand its criteria for growth and to refine the list of sub-sectors for potential M&A activity. This included conducting a detailed analysis of the attractiveness of a number of industry sub-sectors.

The PwC team assessed the underlying competitiveness, industry structure and product and customer profitability in a number of selected markets. This was followed by detailed due diligence on a shortlist of companies that fit the required growth, profitability and investment profile.

The outcome

The company was able to formulate and implement a clear strategy for development in both its existing and adjacent markets.  We also assisted with the development of a new investment strategy for the company’s divisions and determine the most suitable M&A targets. The organisation has since conducted a number of acquisitions and we continue to support both their strategic discussions and their immediate commercial and financial due diligence requirements.