A sample of some of the ways Temple's Capital Investment Specialists have assisted investors with complex capital investment decisions.
Below we have outlined ways we have helped clients with our three service offerings:
1. Acquisition transaction support
2. Capital Investment Plan Development
3. Independent Capital Investment Plan Review
1. Acquisition transaction support
New Zealand, Joint Industry/Government FDI programme
Commercial advisor to USD500m investment feasibility study
Identified and quantified benefits to multiple stakeholders across industry and government for offshore investment programme in Asia. Developed entry strategy and validated with a team in Asia.Sydney, Australia Private Equity Fund
Due diligence of AUD300m services company
Undertook a detailed review of the market and company performance of a potential acquisition for a leading Private Equity fund. Work included market structure analysis, identification of opportunities for growth and risks around existing revenue lines.Australian Private Equity Fund
Due diligence of a leading NZ manufacturer
Undertook a cost and throughput focused diagnostic of a New Zealand technology manufacturing firm. The work concluded with the fund taking a stake in the businessWestern Europe, Global Minerals Company
Assessment of manufacturing capacity requirements
Undertook an assessment of the opportunities for cost reduction given the changing supply and demand economics. Work concluded with the closure of six manufacturing sites, identification of asset acquisition opportunities in China and Nth Korea and prioritised improvement opportunities at Europe’s largest siteNew Zealand, Infrastructure Investment Business
Sector review and commercial due diligence
Defined and assessed opportunities within a sector of the agricultural value chain to support the Board’s investment strategy development. Subsequently undertook detailed market due diligence for an target investment within this sectorUS Loans originator
Identified and implement cost reductions of $US 4 million (supporting sellside value identification)
Led a dedicated 5 person client team with close contact to the US CEO to determine total cost base, identifying personnel and non-personnel cost reduction opportunities valued at 15% of cost base. Cost levers included organisation restructuring facilitated by the elimination of non-value-add activities (Business Process Re-Engineering), outsourcing (both locally and offshore) of non-core activities, reallocating work to lower cost resources, and restructuring credit lines ($US 400 million).Identified performance improvement opportunities of over $US 5 million (representing 150% of EBIT) for potential acquiror
Undertook quantitative analysis of a complex, multilevel discounting and pricing structure to identify improvement opportunities in a retail chain. Developed a models to determine fully loaded costs by product and from this assess true product profitability (Direct Product Profitability) and customer profitability. The engagement led to recommendations on customer and product pricing management and a subsequent doubling of profit inside twelve months.
2. Capital investment plan development
Global food FMCG company
Global Market opportunity assessment and entry strategy
Identified opportunities in the USD32 billion Food Ingredients/Nutraceuticals Market and evaluated entry options. Structured and set up analyses to test the hypothesis that the client should enter the Food Ingredients and nutraceuticals market. Rigorous assessment of market players, market sizing, structure and trends. The outcome was a recommendation to enter selected high value markets and a ‘straw man’ view of options to do so through acquisition of identified targets and organic growth in priority geographies.New Zealand energy sector company
Development of distributed energy business case
Identified and value prioritised opportunities to invest in the NZD4Bn electricity generation sector through distributed, renewable energies. Developed viable business models with management, identified costs and expected uptake curves as a function of price as well as scenario driven valuations to facilitate the capital investment decision.New Zealand Infrastructure company
Sales Channel Audit and business case development for major restructure
Engaged to identify priority improvement areas and strategies across the field sales force, telechannel, online and retail channels (collectively responsible for NZD900m in revenues). Set-up and undertook structured analyses across the field sales force, channel economics (product/channel/customer profitability), customer facing processes and customer information systems. These analyses, combined with new Customer Value Propositions, have led to a restructure of the field sales model for corporate and government customers (NZD500m in sales), the development of a dedicated training centre for sales people and a 3 year ‘straw man’ plan for the retail channel.
3. Independent Capital investment plan review
New York, USA Private Equity Fund
Due diligence review for USD450m company
Engaged by US fund to review a client’s growth strategy prior to committing debt funding. Work included assessment of global growth strategy, review of historical financials and creation of forward-looking scenarios around key risks by geography.New Zealand Corporate
Diagnostic and Performance Improvement
Engaged by the Managing Directors of two business units to assess, critique and quantify improvement opportunities. Included in the role was identification of critical metrics (value driver trees), technical assessment of machine constraints and development and oversight of improvement programmes.Identified performance improvement opportunities of over $US 5 million (representing 150% of EBIT).
Undertook quantitative analysis of a complex, multilevel discounting and pricing structure to identify improvement opportunities in a retail chain for the CEO. The engagement led to recommendations on customer and product pricing management and a subsequent doubling of profit inside twelve months.