UK private equity fund
We conducted a regulatory analysis in the relevant industries coupled with a thorough political risk assessment to determine a proper timing for starting of a dialogue with management and owners of selected target companies.
Task
A UK private equity fund has raised a fund to be invested in development capital and management buyouts in manufacturing of medical devices and health care sectors in Central Europe. Because investments into the health care sector and related operations are vulnerable to political risk exposure in Central Europe we were asked to assess political/regulatory environment, discourses and trends with a view on feasibility of such investments. In addition, we were also tasked to scout for investment opportunities in given sectors.
Solution
We conducted a regulatory analysis in the relevant industries coupled with a thorough political risk assessment to determine a proper timing for starting of a dialogue with management and owners of selected target companies. Timing of the transaction based on the political risk assessment has been of particular importance in this instance because of a vibrant debate and much controversy surrounding issues of private ownership of health care establishments in the region.
Result
We succeeded in starting a dialogue with several acquisition targets and a political and regulatory analysis gave the investor a confidence to proceed with the transaction.