FTI Consulting helps clients determine the optimal way to separate part of a business or divest of an entity from a group of companies. Our team provides operational and financial analysis expertise coupled with programme management skills to support our clients in maximising value from a carve-out. We have a breadth of carve-out experience to ensure “Day 1” risks are managed, thereby minimising business disruption and allowing management to focus on business as usual.
We understand both buyer and seller perspectives and are equally well positioned to review management’s separation plans on behalf of potential buyers. Our carve-out diligence services assess the robustness of management’s separation plans including “Day 1” readiness and transitional arrangements on behalf of potential buyers.
We assist vendors’ clients in preparing for and implementing for a sale via:
Creation of separation plans that are capable of standing up to third-party diligence, incorporating:
Development of a stand alone operating model for the carve-out entity
Identification of intercompany dependencies
Development and implementation of transitional services agreements between the vendor and carve-out entity
Identification of separation risks in a carve-out plan
Formulation of detailed implementation plans enabling effective management of the separation
Preparation of carve-out financial statements, determining the optimal way these statements should be presented
Development of a clear financial plan of how the remaining business will operate after divestment