COMMERCIAL DUE DILIGENCE IN INDUSTRY

automotive, mechanical engineering, electronics, medical technology and energy industries .

We leverage our experience from conducting more than 300 client-specific market and competitive analyses to provide you with the best possible support as a buyer or seller of a company. Our Commercial Due Diligence services enable strategic investors and private equity clients to quickly and reliably assess the business model, market, competition, and future viability of target companies.

CURRENT COMMERCIAL DUE DILIGENCE – PROJECT EXAMPLES

We conduct commercial due diligences for our clients, tailored to the specific requirements of both the seller and buyer sides. Click on the project examples to learn more about some of MEYER INDUSTRY RESEARCH's commercial due diligence projects.

For an international automotive supplier (focus: interior trim), we conducted a buy-side commercial due diligence to examine the acquisition opportunities for medium-sized market participants in Europe, North America, and China. We compiled an overview of the companies active in the market and analyzed the most attractive targets in terms of their suitability and availability.

In this commercial due diligence project, we supported our client, an international private equity fund, in analyzing and evaluating a leading packaging machinery manufacturer that was up for sale. We examined the key performance indicators, the market environment, the competitive situation, and the customer structure based on extensive international secondary data analyses within just a few working days.

For our client, a strategic investor in the healthcare market, we conducted a buy-side commercial due diligence on the global market for wound care products. We analyzed the target company's key performance indicators and positioning, as well as its business model with regard to its future viability, and compared this data with the general market trend and the performance of key competitors.

Our client, a strategic investor in the technology sector, was interested in acquiring a major manufacturer of special gear units for the marine, energy, and mechanical engineering sectors. In a customized commercial due diligence, we examined market developments, competitive positioning, and key industry trends in the market for special industrial gear units.

EXTENSIVE COMMERCIAL DUE DILIGENCE EXPERIENCE

Our clear focus on industrial commercial due diligence projects offers our clients advantages: We have access to key information sources, understand the possibilities for efficient information gathering in your industry, and have access to key market experts. For buyers and sellers, strategic investors, and private equity firms, we provide tailored, up-to-date market and industry information at short notice and analyze potential target companies in detail.

the founder of our company, Matthias Meyer, worked for a leading strategy and investment consultancy, where he was involved in numerous commercial due diligence projects.

Find out the key facts about CDD in our CDD Factsheet or download our current Commercial Due Diligence Checklist .

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Questions and answers about commercial due diligence

Here we answer some frequently asked questions from our clients about conducting commercial due diligence in the industrial sector:

Commercial due diligence (CDD, used analogously to strategic or market due diligence) is a special form of strategic market analysis in which strengths, weaknesses, opportunities, risks and future prospects are assessed in a structured manner (SWOT analysis). Along with financial due diligence, legal due diligence and HR due diligence, CDD is another fundamental component in the evaluation of the target company in corporate transactions/M&A projects . Due to the demanding analytical tasks involved, CDD is also referred to as the supreme discipline of market analysis. To obtain reliable information in CDD, both secondary sources (e.g. statistics, publications by companies in the market, competitive analysis, specialist articles) and primary market research methods (e.g. interviews with existing customers, potential customers or market experts) are used.

Depending on whether the due diligence is being conducted for the seller or the potential buyer of a company, it is referred to as a sell-side or buy-side commercial due diligence . Sellers require due diligence in order to present a neutral market environment assessment . It provides solid arguments for an attractive valuation of the company and a correspondingly high sales price. Buy-side due diligence critically examines the market attractiveness and market positioning of the target company and uncovers potential hidden risks of a company acquisition. It enables the buyer, who otherwise usually has limited information about the market and the company, to conduct an appropriate assessment based on neutral information.

fewer directly available market figures and statistics for industrial and B2B markets than for consumer markets. Therefore, reliably estimating market size and growth is a particular challenge for commercial due diligence projects in industrial and niche markets. We leverage our extensive access to all relevant industrial data sources and complement these with our strong modeling expertise Assessments from industry experts , with whom we maintain extensive contacts, also play an important role

Identifying competitors already active in the market and analyzing market development strategies is a key task of commercial due diligence (CDD). Which competitors operate in the target market, what positioning do they adopt, what technologies do they use, how successful are competitors, and what best practices in their business models can be identified? How does the customer structure differ from key benchmarks? We aggregate key metrics, analyze competitors' strategies, and derive an assessment of the target company's competitive position .

Interviews with market participants and industry experts are a crucial source of information when evaluating companies and markets. Our proven interview process ensures maximum success: (1) We develop a suitable interview guide with the key questions in close consultation with you. (2) We research our network and other suitable environments for relevant interview partners . For example, we interview decision-makers at customers, non-customers, dealers and sales partners, associations, research institutes, or other participants in the value chain. You will receive a list of suggested interview partners for approval. (3) We conduct the interviews in accordance with professional principles . (4) We compile the interviewees' assessments and derive implications for the company and market valuation from them.

Company sales are often time-critical, and deadlines are tight. Therefore, we support our clients with commercial due diligence in a short-term and unbureaucratic manner Initial results are often available within , and the overall processing time is usually no longer than a few weeks.

Do you have any further questions about conducting a market due diligence? We are happy to assist you: Contact

COMMERCIAL DUE DILIGENCE – EXTENSIVE REFERENCES

Managing directors, sales managers, and strategy and business development managers at more than 100 client companies rely on our meticulous market analyses for one key reason: the uncompromising quality and reliability of our market analysis results.  Our discerning clients also value the personal and open collaboration with our team, as demonstrated by their numerous testimonials – please see for yourself.

Further references

INDIVIDUAL CONSULTING FOR YOUR COMPANY ANALYSIS

Trustful personal cooperation and the high quality and reliability of our analyses are top priorities at MEYER INDUSTRY RESEARCH.

We would be happy to provide you with an in-depth, non-binding consultation prior to a potential collaboration , including a personal on-site consultation upon request. We look forward to receiving your inquiry and will be happy to prepare a customized quote for you!

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