CDI Global welcomes RGS Partners as its new M&A partner for Brazil

Brazil has a large population with increasing consumption power. Brazilian companies are frequently targeted by foreign multinationals looking at emerging markets as an alternative for growth.

Renato Stuart, Managing Partner at RGS Partners: “CDI Global is one the oldest and largest M&A Advisors serving middle market and cross-border transactions. CDI has an impressive global reach with presence in 23 countries. CDI Global provides us an excellent relationship network, allowing us to increase our effectiveness in securing international buyers for our sell-side mandates in Brazil. As part of CDI, we will also be better positioned to advise multinationals in searching for and acquiring companies in Brazil. RGS plans to leverage CDI Global relationships and expertise in Agribusiness, Healthcare, Industrials, Technology, and other important Brazilian industries.”

Jeff Schmidt, Executive Managing Director of CDI Global: “CDI Global is the preeminent advisory firm for middle market and cross-border business combinations. Founded in Europe nearly five decades ago, CDI Global has a global footprint with nearly 50 office locations covering all major economic regions of the world. Our member firms, including RGS Partners, bring deep local knowledge and a strategic perspective to acquisitions and divestitures along with other types of business combination. Indeed, we consider ourselves strategic partners in the profitable growth and corporate development of our clients. RGS Partners brings important strengths to our significant capabilities and resources for serving domestic and global clients in Brazil and around the world. We are honoured to add RGS Partners as a significant new member of our growing enterprise.“

About RGS Partners M&A

Founded in 2013 by former executives of major investment banks, RGS Partners offers high quality advisory solutions for all its clients. By aligning the diligence and sophistication of an investment bank with the agility and independence of a boutique, RGS Partners is one of the leading M&A advisory firms in Brazil.

About CDI Global

CDI Global is a Mergers & Acquisitions network with partners in nearly 25 countries and focuses on middle market companies and cross-border transactions. The local M&A specialists have delivered more than an estimated 1600 transactions covering multiple industry sectors since 1973.

CDI Global welcomes Hogenhouck as its new M&A partner for The Netherlands

CDI Global welcomes Hogenhouck as its new M&A partner for The Netherlands 

Dutch companies typically have a global reach in their activities through cross-border customers, subsidiaries, suppliers or partnerships. In the increasingly global trade and tech-oriented economy, a growing number of companies are looking for cross-border opportunities for acquisition, sale and funding.

Mark van Beusekom, Managing Partner at Hogenhouck: “CDI Global is one the oldest M&A networks (founded in 1973) and has an impressive global reach with presence in 23 countries. We are proud to join as the exclusive partner for The Netherlands. CDI Global gives us an excellent position in the cross-border M&A playing field. Hogenhouck is now in an even better position for clients to broaden relationships, bring cross-regions insights and local expertise across multiple industry sectors. And of course, we are also looking forward to bring expertise and experience about the Dutch market to CDI Global.”

Jeff Schmidt, Executive Managing Director of CDI Global: “CDI Global is the preeminent advisory firm for middle market and cross-border business combinations. Founded in Europe nearly five decades ago, CDI Global has nearly 50 office locations covering all major economic regions of the world. Our member firms, including Hogenhouck, bring deep industry knowledge and a strategic perspective to acquisitions and divestitures along with other forms of business combination. Indeed, we consider ourselves partners in the strategic growth and corporate development of our clients. Hogenhouck brings important strengths, an entrepreneurial spirit and resources for serving domestic and global clients. We are honoured to add Hogenhouck as a new member of our global enterprise. “

About Hogenhouck M&A

Hogenhouck is an entrepreneurial Mergers & Acquisitions firm supporting middle market companies. Hogenhouck was founded in 2007 and has completed over 120 transactions for owner-founders of technology-driven companies in IT, Trade, Engineering, Food, Lifestyle.

About CDI Global

CDI Global is a Mergers & Acquisitions network with partners in nearly 25 countries and focuses on middle market companies and cross-border transactions. The local M&A specialists have delivered  nearly 1600 transactions covering multiple industry sectors.

CDI Global is Pleased to Announce New 2019 Partnerships

Three New Partners Further Expand CDI Global’s International Network

Chicago, Illinois – CDI Global, an international mergers and acquisitions (M&A) advisory firm, is pleased to announce the addition of three new partners to their global network. The continued addition of new regions to their network makes them one of the leaders in cross-border transactions, providing on location support and expertise in a wide variety of industries.

On the 1st of January, Incorbank became CDI Global’s newest partner in 2019. One of Columbia’s longest running boutique investment banking firms, their experience spans 30 years and more than 2,000 transactions. They have both the specialized experience needed for niche markets and the larger capacity to advise cross-border transactions, making them a perfect fit for CDI Global’s international network.

In March 2019, Merit Harbor Group, LLC, one of CDI Global’s partners, merged with JD Ford & Company to form JD Merit & Co. JD Ford brings their experienced team of professional investment bankers who specialize in mid-market mergers, acquisitions, and valuations. Craig Dickens, CEO of JD Merit, notes of the new partnership, “JD Merit will maintain their culture of boutique service to their clients, while also providing a team of high skilled investment bankers to more effectively serve our clients both domestically and internationally.”

Most recently, in April 2019, RGS Partners, one of the most prestigious M&A boutiques in Brazil, joined the CDI Global network. In addition to their history of providing strategic and transactional advisory services, RGS Partners also has wide reaching relationships with financial investors interested in Brazil, allowing them to strategically map and select the best candidates for their clients.

CDI Global specializes in finding the right opportunities for cross-border mergers and acquisitions, using their international offices that integrate their network to provide on-location expertise and support. These three additions to the CDI Global family serve to expand and strengthen that reach, providing additional areas of opportunities to their clients.

About CDI Global

CDI Global offers financial advisory services focusing on middle-market transactions. The firm specializes in international company search for mergers and acquisitions, divestitures and joint ventures, buy-side and sell-side representation, and due diligence advisory services. They have over 1,000 transactions completed in the past 35+ years covering more than 25 industries. CDI Global was founded in 1973 and is based in Chicago, Illinois with 35 additional offices in Asia, Europe, North America, Oceania, and South America. They are known for the quality of their international personnel, industry focus, trademark interview process, and in-depth business development expertise. For more information visit https://www.cdiglobal.com. Local knowledge, global reach.

Contact

Craig Dickens
Tel: +1 (847) 853 8650
marketing@cdiglobal.com

CDI Global Guides Successful Industrial Industry Divestment

STR enlisted CDI Global to negotiate sale to GQS

Melbourne, Australia (May 20, 2019) – CDI Global, an international M&A advisory firm, is pleased to announce the successful divestment of STR Inspection Services (STR) to GQS.

STR engaged CDI Global Australia (CDI ANZ) early in the process to develop a divestment plan and information memorandum. CDI Global worked to identify potential acquirers for STR, and begin a dialogue with each potential entity, overseeing communication. In addition to managing initial discussions, they also coordinated site visits.

STR reflected on the engagement, “We would like to thank CDI for your diligence, advice, persistence and patience in the long drawn out process of getting the deal for the sale of STR finally wrapped up. We acknowledge and sincerely appreciate their efforts and would have no hesitation in recommending their services.”

STR was established in 2010 to provide a range of inspection services for major industrial plants. The experience of their inspectors and works management systems means they have the ability to service plant outages and operating equipment from visual inspection to arranging and supervising weld procedures and repairs. They have grown to service major industrial plants and construction projects in the oil & gas, pulp & paper, mining, energy, power generation and chemical manufacturing sectors across Australia, Asia and Europe.

CDI Global identified GQS, an international provider of technical and quality assurance services, as an ideal acquirer for STR. They went on to negotiate and finalize the non-binding offer, and develop and manage the virtual data room, corporate advisors and face to face meetings between STR and GQS. STR was an ideal acquisition for GQS based on an alignment of delivering high quality inspection services and audits to the energy industry and other related sectors. GQS combines specialist engineering knowledge with industry-wide quality process experience to deliver optimized solutions.

“We could not be more pleased about our role in the transaction,” said CDI ANZ Partner Chris O’Connor. “We have worked with STR for many years and the sale to GQS is a perfect fit and will utilise STR capabilities throughout Asia Pacific. The goodwill and professionalism of STR and GQS is a positive sign of the future success of the transaction.”

CDI Global specializes in finding the right opportunities for cross-border mergers and acquisitions, using their international offices that integrate their network to provide on-location expertise and support

About CDI Global

CDI Global offers financial advisory services focusing on middle-market transactions. The firm specializes in international company search for mergers and acquisitions, divestitures and joint ventures, buy-side and sell-side representation, and due diligence advisory services. They have over 1,000 transactions completed in the past 35+ years covering more than 25 industries. CDI Global was founded in 1973 and is based in Chicago, Illinois with 35 additional offices in Asia, Europe, North America, Oceania, and South America. They are known for the quality of their international personnel, industry focus, trademark interview process, and in-depth business development expertise. For more information, visit https://www.cdiglobal.com.

Local knowledge, global reach.

Contact

Craig Dickens
Tel: +1 (847) 853 8650
marketing@cdiglobal.com

CDI Global Advises Groupe Anjac in Key Acquisition

Groupe ANJAC Acquires Laboratoris Feltor

Madrid, Spain (April 23, 2019) – CDI Global Spain (Emmergia CDI Global) has advised the French group Groupe Anjac (ANJAC) in the acquisition process of the Spanish company Laboratoris Feltor S.A.

The team at CDI Global was pleased to be assisting in such a complex transaction, which involved a very demanding investor used to working with prestigious M&A boutiques, and with a track record of 7 successfully executed acquisitions in the last 5 years. CDI Global Spain was called upon because this acquisition was the investor’s first crossborder transaction into Spain. They wanted to make sure they had the right cross-border expertise for a full analysis of the target company, as it might become a platform for further expansion in Spain.

The health and beauty industry group ANJAC specializes in the formulation, manufacture, and packaging of cosmetics, medical devices, medicines, and food supplements, operating as a pharmaceutical laboratory contractor of recognized brands in the world of cosmetics and personal care. Acquiring Laboratoris Feltor brings aboard a manufacturer with specific know-how in in Premium products developed for high-quality Dermo-Cosmetics brands, pharmaceuticals, medical devices and other high-quality health products.

CDI Global specializes in providing know-how for cross-border transactions, seeking the best fit for each operation to be carried out from the international offices that integrate their network.

Legal Advisory provided by: Jeausserand Audouard – Avocats à la cour Accounting and Diligence support provided by: Ernst & Young France and Tax Legal Spain

About CDI Global

CDI Global offers financial advisory services focusing on middle-market transactions. The firm specializes in international company search for mergers and acquisitions, divestitures and joint ventures, buy-side and sell-side representation, and due diligence advisory services. They have over 1,000 transactions completed in the past 35+ years covering more than 25 industries. CDI Global was founded in 1973 and is based in Chicago, Illinois with 35 additional offices in Asia, Europe, North America, Oceania, and South America. They are known for the quality of their international personnel, industry focus, trademark interview process, and in-depth business development expertise. Local knowledge, global reach.

Contact

José María Varas Garcia
Tel: +34 915 190 077
jose.varas@cdiglobal.com

CDI Global advises sale of Norwegian tech company SafeSend

j2 Global, Inc. acquires e-mail security software company SafeSend

Chicago, Stockholm, Sweden – CDI Global Sweden is pleased to have advised SafeSend, a Norwegian security software provider, in the successful sale to j2 Global, a global cloud services, security and media group.

SafeSend develops and sells software that prevents sensitive information from being sent to the wrong e-mail recipients (misaddressed e-mail). With over 300,000 active users around the globe, SafeSend was an excellent complement to j2 Global’s tech portfolio of cloud services and security brands. Powered with the strength of j2 Global’s operations, that span forty-nine countries and six continents, SafeSend looks forward to continuing thei already steady growth and expanding to deliver more comprehensive solutions.

“We could not be more pleased with our role as the chosen advisor for SafeSend, and the successful divestment to j2 Global. The new owner’s strong position and brand in the IT security space is a perfect match for SafeSend,” noted Nikla Edler of CDI Global Sweden. Pulling from their team of experts, both in technology and cross-border transactions, CDI Sweden managed the divestment process, provided documentation, financial modelling, managed negotiations with potential buyers, and coordinated due diligence. CDI Global specializes in international transactions, providing local expertise and industry specialization from their extensive network of global offices.

About CDI Global

CDI Global offers financial advisory services focusing on middle-market transactions. The firm specializes in international company search for mergers and acquisitions, divestitures and joint ventures, buy-side and sell-side representation, and due diligence advisory services. They have over 1,000 transactions completed in the past 35+ years covering more than 25 industries. CDI Global was founded in 1973 and is based in Chicago, Illinois with 35 additional offices in Asia, Europe, North America, Oceania, and South America. They are known for the quality of their international personnel, industry focus, trademark interview process, and in-depth business development expertise. For more information visit https://www.cdiglobal.com.

Local knowledge, global reach.

Contact
Craig Dickens
Tel: +1 (847) 853 8650
marketing@cdiglobal.com

CDI Global Played Key Role in Acquisition of Product Care Manufacturer

ACON Investments and Torreal Acquire Germaine De Capuccini

Madrid, Spain (April 23, 2019) – CDI Global Spain (Emmergia CDI Global) has advised the Spanish group Germaine de Capuccini S.A.(Gdc) in the sale process to the private investors Acon Investments LLC y Torreal. Germaine de Capuccini S.A is a leading developer, producer and supplier of specialized, professional skincare and cosmetic products.

CDI Global Spain is pleased to have advised the Vidal family in the successful sale of their company. This included solving a family conflict that had lasted more than 7 years, embedded with judicial battles, that had hindered Germaine performance and growth. The biggest challenge was to deliver a consensus among 4 families (third generation) about entering into the selling process with an extremely demanding investor. Pricing was crucial, but also building a win-win structure that delivered results matching the projections during the 8-month period of due diligence.

“Our advisors from CDI Global have delivered top results for me, my father, and my cousins, obtaining an excellent price that we never expected. Key factors were understanding our needs, meticulously bridging gaps that separated our families for years, and bringing the parties together for a transaction that seemed hard to accomplish.” Raul Vidal – Former CEO of Germaine De Capuccini

CDI Global specializes in providing know-how for cross-border transactions, seeking the best fit for each operation to be carried out from the international offices that integrate their network. Legal Advisory provided by: Hogan Lovels, on behalf of the investors Accounting and Diligence support provided by: Grant Thornton, on behalf of the investors

About CDI Global

CDI Global offers financial advisory services focusing on middle-market transactions. The firm specializes in international company search for mergers and acquisitions, divestitures and joint ventures, buy-side and sell-side representation, and due diligence advisory services. They have over 1,000 transactions completed in the past 35+ years covering more than 25 industries. CDI Global was founded in 1973 and is based in Chicago, Illinois with 35 additional offices in Asia, Europe, North America, Oceania, and South America. They are known for the quality of their
international personnel, industry focus, trademark interview process, and in-depth business development expertise. Local knowledge, global reach.

Contact

José María Varas Garcia
Tel: +34 915 190 077
jose.varas@cdiglobal.com

CDI Global Sweden Negotiates Key e-Commerce Acquisition

Seafire acquires e-commerce company Nordbutiker i Sverige AB

Stockholm, Sweden – CDI Global Sweden has successfully advised the negotiations and sale of Nordbutiker i Sverige AB to Seafire.

Nordbutiker i Sverige AB is the e-commerce group for smaller electric vehicles, such as electric bicycles, kick-bikes, scooters, mopeds and wheelchairs in the Nordic region, operating ten online stores. They have experienced an average annual growth of over 30% over the past three years. Seafire operates as an investment firm, acquiring, developing and investing in technology companies.

“We are very pleased to be working with a company that is developing in a growing and increasingly sought-after electric vehicle market. It is always rewarding to be collaborating with a business where we see great potential in the future and where both buyers and sellers have a continued commitment in the business and in the products.” – Nikla Edler, CDI Global Sweden.

CDI Global Sweden has been the adviser for the seller throughout the transaction process. Their team of experts used local knowledge and experience in the electric vehicle sector in a strategic approach to find a new owner of the company that would be a good fit for both parties. CDI Global specializes in providing know-how for cross-border and international transactions, seeking the best fit for each operation to be carried out from the international offices that integrate their network.

About CDI Global

CDI Global offers financial advisory services focusing on middle-market transactions. The firm specializes in international company search for mergers and acquisitions, divestitures and joint ventures, buy-side and sell-side representation, and due diligence advisory services. They have over 1,000 transactions completed in the past 35+ years covering more than 25 industries. CDI Global was founded in 1973 and is based in Chicago, Illinois with 35 additional offices in Asia, Europe, North America, Oceania, and South America. They are known for the quality of their international personnel, industry focus, trademark interview process, and in-depth business development expertise. For more information visit https://www.cdiglobal.com.

Local knowledge, global reach.

Contact

Craig Dickens
Tel: +1 (847) 853 8650
marketing@cdiglobal.com

M&A auctions. What’s not to like?

If you buy or sell companies in the Chemical sector, you’ll recognise auctions as a prominent feature of the M&A landscape. They come in different forms from targeted solicitation to broad auctions and, in the middle-market, it’s the latter that’s most common.

Broad auctions

So, broad auctions. If you’re a buyer, what’s not to like? The selling company does all the heavy lifting in advance. They will hire an investment banker to value the business based on relevant comparables and multiples that best match the seller’s niche in the chemical sector. A glossy prospectus is prepared with the information a buyer needs, from financials to future opportunities for growth. Everything handed to you, on a plate.

Trouble is, the investment banker will see it as their responsibility to get the best price for their selling client. So tens, if not hundreds, of prospecti are mailed out. Suddenly it’s a very crowded market.

auction

 

Pitfalls for the seller?

Good news for the seller, surely? Well, possibly. Yes, it’s good to raise a lot of interest but such a broad-brush approach can attract possible buyers who soak up many hours of the seller’s valuable management time, only to discover the target is not really what they’re looking for. The road from Indication of Interest to Letter of Intent is littered with good intentions and discarded prospecti.

The broad auction will continue to play a prominent role in Chemical M&A activity, but with the market showing an increasing tendency towards more complex cross-border deals, it begs the question whether such a reactive, follow-the-herd approach will serve buyers best in the future.

 

Fit v. Price

Increasingly, when embarking on growth through acquisition, the best ‘fit’ is becoming as important as the right price, if not more so. As we have seen, some companies will accept significantly higher valuations if they can see synergies in the target that will help unlock value within their own business.

So a more pro-active, finessed approach might be more effective where the buyer decides exactly what they need to grow and goes looking for it, whether it’s on the market or not. This could be particularly appropriate if the current trend for mega-deals continues, as they will inevitably produce potential divestitures which can be seen early from outside the two companies. A good starting point for a pro-active buyer.

 

Seeking a guide

The only missing piece in this jigsaw is who? Who will embark on this surgical exploration to extract the right opportunity? The time-poor Chief Executive? Perhaps not. Such targeted searches don’t happen overnight. It can take years to pull such a deal off, particularly when the acquired company is not for sale initially.

Jigsaw pieces

It takes dedicated, committed and continuing effort from people who focus on this, and nothing else. It takes the experts.

 

Considering buying or selling in the chemicals sector? Download our free guide for insights into the chemicals market in 2017 and insider knowledge on identifying the right opportunities.  

Acquiring chemical companies in a seller’s market

Is it possible for a buyer to get a good deal when all the cards are in the hands of the seller right now?
Every cloud…

Modest organic growth, an abundance of liquidity and a relative scarcity of suitable targets make a chemicals industry M&A cocktail to be mixed with care.

Pressure mounts for expansion through acquisition. The market knows this and reacts to type: valuations of the preferred acquisitions head north at speed and soon EBITDA multiples are at near historical levels.

And in the middle of all this noise, you’re trying to maintain your focus on making an acquisition critical to realizing your strategy moving forward. Welcome to the world of acquiring a chemicals company in a seller’s market.

clouds2

 

…has a silver lining.

If this all sounds challenging, the good news is there are still deals to be done if you know where to look. For example, despite uncertainties created by the incoming Trump administration, US chemical companies in various sectors remain attractive to buyers.

For many, consolidation will be the name of the game but not all sectors have yet matured in this regard, and opportunities may exist elsewhere, but you may have to be pro-active to leverage them.

Equally, the trail of mega-deals that has been a feature of the last two years will lead to a steady supply of acquisition opportunities once, or if, they clear the regulators. Anti-trust laws will force the new enlarged companies to divest certain businesses, that and a need to trim and shape their portfolio.

And a steady supply of auction prospects may continue to land on your desk. But, remember, you’re looking for suitable targets, those that offer the best strategic fit. Even if you fall lucky and find a company offering itself publicly for sale that is a perfect match, you will be hunting with the pack, limiting your chances of acquiring the ingredients of a really great deal – good fit and good price.

 

Define your target and spread your net 

History tells us that the acquiring companies who achieve this perfect combination have understood early the value of specialist advice. This allows them to broaden their scope considerably. One way of easing the pressure of a seller’s market is to not restrict your ambitions solely to those who are currently selling. Instead, with the right guide, you can actually consider every company as a potential target.

target

And that means every company globally – another reason to seek guidance because cross-border deals can bring both a whole new range of opportunities and financial, regulatory and cultural issues. For example, investing heavily in emerging economies with volatile currencies should not be undertaken by the uninitiated.

None of which should put you off, as long as you’re willing to put in the hard yards, aided by expert advisors. In this sector, fortune favors the diligent, as much as the brave.

Thinking about buying in the chemicals sector? Download our free guide for insights into the chemicals market in 2017 and insider knowledge on identifying the right opportunities. 

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Author: Paul Muir

Paul Muir is a CDI Global Partner based in Boca Raton, Florida. A native South African, he has worked at CDI Global since 2001 and is currently Global Coordinator and Director of our North American offices. Paul also leads our North American chemicals team and has advised on several chemical M&A transactions for clients including The Lubrizol Corporation (Now a Berkshire Hathaway Company), BASF, Dystar LP, Solvay, Robertet, The Chemlogics Group, FibroChem, DuPont, Dow Chemical, Pilot Chemical, Nupro, MeadWestvaco, & Teijin. Paul has been a pivotal member of many search assignments within other industries including biometrics, HVAC, instrumentation, packaging, software and public safety industries. Previous clients include Advanced Public Safety, Appleton Paper, GE Medical, Lubrizol, Nagelbush Mechanical, SmartProcure and Sense Holdings.