Transaction Advisory

Assessment of the economic value of part or all of an investee Company is what Investor Valuation is. In several circumstances, Investor valuations are used, including to determine the sale value of a portfolio Company, to establish partnership/ownership, for tax and litigation purposes, or even in divorce proceedings. Certified professionals help in carrying out the objective of estimation of value of the portfolio Company or investee considering the purpose of valuation.

While, all valuations share certain common attributes, some differences need to be reflected in the analysis, based on values and purpose of transaction. Significant impact on the outcome will be reflected based on these differences. Considering the available facts of the investee, the team, the performance, the industry, and the long-term perspective apart from the available peers, valuation parameters, need to be determined. Hence, valuation requires the expertise of professionals who regularly carry out valuations for different purposes.

Our team of Transaction Advisors works closely with Private Equity (‘PE’) funds, Buyers, Sellers, and as well privately held Indian and foreign clients ranging from start-up entrepreneurs to multinational corporations helping them evaluate, from time to time, using appropriate methods, as may be applicable, in each case based on the requirements.

Detailed financial assessment of the latest financial situation of the analyzed company, including the company’s internal control system, financial statements, and document flow, is conducted by our professionals in the Transaction Advisory Services team. The due diligence process highlights unusual and uncharacteristic transactions, analyses intercompany transfers and their impact on financial performance. Information on assets and liabilities, expense structure, and earnings from primary activities, among other things, as well as an assessment of all legal risks associated with the M&A process, are reviewed thoroughly.

Our specialists in Kennis pay particular attention to cash flows and liquidity of the current operations, also the various factors that impact the cash-generation capacity, at present and near future standpoint. The proceedings include investigation of historical data and predictions, revealing hidden liabilities if any, to understand the investment strategy and trends.

As part of Transaction Advisory Services, Kennis ensures momentous growth to its clients, providing a stable end-to-end solution from the initiation to the successful completion of the deal.

Supporting our clientele to maximize the return on their investment by developing infallible strategy, conducting thorough due diligence, structuring domestic and cross-border tax concerns, locating prospective targets, negotiating a fair price, and closing and post-closing integration.

For the most favorable valuation, it is necessary to develop an appropriate negotiation strategy, whereby detailed seller diligence is conducted, and tax implication is optimized with our assistance.

India has immense entrepreneurial potential that continues to remain underleveraged. While finance is one element to build a dynamic biosphere of entrepreneurship, the Covid crisis has brought unprecedented urgency to reach and support businesses and create a comprehensive, integrated policy to promote skill development and liquidity. Hence the importance of strategic alliances has gained importance to mitigate various risks attached to small businesses. 

Strategic alliances are partnerships between two organizations by way of a partial or full acquisition through the exchange of equity between the two. Why this is required:

1. It is critical to the success of a core business goal or objective
2. It is critical to the development or maintenance of a core competency or other source of competitive advantage
3. Blocks a competitive threat
4. Creates or maintains strategic choices for the firm
5. It mitigates a significant risk to the business

Our specialist’s expertise in assisting investors to identify potential Joint Venture partners, negotiating the JV, structuring the transaction, drafting and negotiating the JV agreement, and securing the necessary regulatory approvals for closing the deals.

Our core competency as a transaction advisory on joint ventures includes the following activities.

• Identifying potential partners for Joint Venture
• Negotiations with the potential Joint Venture Partners
• Arranging for foreign investor interest in the JV 
• JV agreement draft and negotiation 
• Arranging for regulatory permissions for Joint Venture
• Deal closure and setting of the Joint Venture entity
• Assistance with all compliances relating to Foreign Exchange Regulations, Company
• Law, and tax regulations, to successfully close all relevant set up related compliances.