Project example: Commercial Due Diligence - Automotive
Situation
- Global leader OEM of Turbocharger component for engines used in multiple industries (cars, trucks, railway, marine, off-road vehicles, stationary engines)
- Currently privately owned, intention to sell shares to an investor
Actions Proost Ventures
- Assess technology and the substitution chances & risks of the target’s technology
- Analyse relevant drivers for the product (turbocharger and engine control, emission reduction, emerging markets growth in turbocharger penetration)
- Determine market size (historic and projected production numbers of turbochargers in trucks, cars, railway rolling stock, ships, off-road vehicles, wind turbines, and stationary engines for energy generation)
- Determine the purchasing criteria of customers
- Evaluate growth potential of existing product lines and new products
- Analyse and assess the revenue plan in comparison to market and competitive development and individual product and sales initiatives
- Analyse strengths and weaknesses (based on expert and competitor interviews)
Results
- Successfully performed buy-side Commercial Due Diligence in 3 weeks
Download here in pdf the detailed project example Commercial Due Diligence – Automotive