About this video
A Singapore contractor for sale at seven times an adjusted EBITDA of 8.2 million. One workspace, one link to the seller, and a review that raises the questions a diligence team is paid to raise, cited on both sides, before anyone opens a file.
Full description
Project Frost: a buy-side team starts financial due diligence on Halcyon Mechanical Services, a Singapore HVAC contractor offered at 7.0x an adjusted EBITDA of S$8.2m. The review starts from the company and its years, not from a folder tree; one request sends the seller's financial controller a single link, and she drops twelve unsorted files. Ellie files them by content, holds the decoys for a person, and raises the questions a quality of earnings team is paid to raise: a related party found from a director's name across a lease and a note, a hire purchase contract missing from the debt schedule, add-backs that recur year after year. Each question is cited on both sides, with the source opened at the passage. A request written by the analysis goes back to the seller; her answers land on the questions they answer, including the auditor's report that takes S$860,000 out of the adjusted EBITDA and the bank's letter that calls the certified covenant a breach.
Key points
- The review starts from the company and its years, not from a folder tree
- One link to the seller: twelve unsorted files, filed by content, decoys held for a person
- Questions a QoE team is paid to raise, found from the room itself, cited on both sides
- The request list is written by the analysis, not typed by an associate
- Every answer lands on the question it answers, at the paragraph that matters
Video details
- Roles
- Investor / LP
- Processes
- Acquisitions
- Geographies
- APAC
- Tags
- halcyon-financial-dd, data-room, financial-due-diligence