Shorts held our hand through the whole process.Sue Wright, Director
The Diamond transaction perfectly illustrates our ‘Transaction plus’ approach to Corporate Finance, with Shorts providing seamlessly integrated support throughout. Numerous service lines were engaged to ensure the best overall result for our client, with a particular focus on tax and investment advice in addition to our Corporate Finance services.
Diamond started as an accounts and tax client, but Corporate Finance were introduced at a very early stage in anticipation of a potential sale at some future date. Shorts initially assisted in grooming the business for sale, including implementing management accounting to provide robust financial information.
A deal strategy was developed to ensure the most likely purchasers were engaged in a competitive and controlled process at the optimum time to maximise proceeds. Shorts subsequently acted as advisers, leading all negotiations and project managing the transaction through to legal completion. A successful sale was achieved to Lubrizol Corporation.
In their own words;
How you found working with us?
“The whole issue of selling your company is such an emotional and difficult undertaking. Andy Ryder and Matt Milnes held our hand through the whole process and kept us on track and focused whilst dealing very effectively with the whole issue of due diligence. They kept us in the picture and even managed to inject a sense of humour into what was a very difficult and testing time.”
What value you thought we added?
“Andy and Matt took responsibility for all the financial information supplied to our buyers. They ensured that throughout the process we presented a consistent and coherent set of figures and forecasts and made sure that we understood what was being communicated at each stage. This detailed and careful approach increased our (Diamond’s) credibility with our buyers and gave them confidence in the case that we were presenting to them and the value of the company.”
How we helped you in the process?
“Your approach was informal but efficient. We could trust absolutely the figures you came up with. You negotiated in a collaborative way with our buyers, rather than an antagonistic way and the whole process was kept friendly whilst being comprehensive and effective.”
Which parts of our advice and support did you find most useful?
“That due diligence would be a difficult and laborious process! They told us to hold our nerve, keep a sense of humour and try to take a level headed approach. To sell a business is such an emotional thing to do, and someone questioning everything about your company is not always easy to handle!”
Would you recommend us?
“Absolutely, without a doubt.”
About Diamond Dispersions Limited
Diamond Dispersions Limited is an award winning manufacturer of water based dye and pigment dispersions for inks used in digital printing. Based in Sheffield, Diamond exports around the world; including Europe, China, South America, India, USA, Japan, Indonesia, Thailand, Vietnam and South Korea.
Diamond has been acquired by the $7 Billion revenue Lubrizol Corporation, a Berkshire Hathaway company led by Warren Buffet (one of the world’s richest men). Lubrizol was attracted by the world leading technology developed by Diamond, adding to its portfolio of products in its performance coatings business.
- Advice on deal tactics including advice on the optimum time to go to market
- Controlling deal strategy and managing information flow to potential purchasers
- Selection of preferred purchaser
- Negotiating and drafting heads of terms
- Leading all negotiations with the purchaser to maximise proceeds
- Managing due diligence process on our clients’ behalf
- Liaising with lawyers regarding the sale and purchase agreement
- Project managing to legal completion
- Statutory Accounts and tax compliance
- Management accounts
- Tax advice to maximise net proceeds and minimise tax risks (including securing entrepreneurs’ relief)
- Trust and estate planning advice to mitigate inheritance tax exposure on proceeds
- Advice on completion accounts process including technical accounting support
- Post deal advice on investing proceeds