Advising on Divestitures
CDI Global advises shareholders and corporate groups on the sale of businesses and business units across a wide range of industries. Engagements include the sale of privately owned companies and corporate divestitures in which ownership passes to a new investor. Many companies brought to market are privately held and require a structured sale process to identify potential buyers. CDI Global prepares the company for market and approaches selected acquirers, managing discussions through negotiation to completion and helping create competitive buyer interest.
Divestiture Strategy
A successful divestiture process begins with a clear strategy for how the business will be presented to potential buyers and which acquirers should be approached. The way a company is positioned in the market and the type of buyers contacted can influence valuation and the likelihood that a transaction will complete.
CDI Global works with shareholders to prepare the information used during the sale process and to identify suitable buyers for the business. By approaching multiple qualified acquirers and managing the process carefully, the divestiture strategy helps establish competitive interest during negotiations.
Broad Auction
A broad auction process involves approaching a wide group of potential acquirers in order to generate competitive interest in the business. Buyers are invited to review the opportunity and submit indicative offers as the process progresses.
CDI Global manages this process on behalf of shareholders, coordinating discussions with potential buyers and reviewing the proposals received. As bidding progresses, the field of interested parties is gradually narrowed so negotiations can move forward with the most credible buyers.
Limited Auction
A limited auction involves approaching a small group of carefully selected acquirers rather than a wide field of buyers. This approach is often used where confidentiality is important or where the most suitable buyers can be identified in advance.
CDI Global works with shareholders to identify potential acquirers and manage discussions with those parties during the sale process. By focusing on a smaller group of credible buyers, the process allows negotiations to move forward in a controlled and confidential manner.
Transaction Support
During a divestiture process, sellers often require support while negotiations and due diligence are underway. This stage can involve a detailed financial review and questions from potential buyers that must be addressed before the transaction can proceed.
CDI Global works alongside shareholders and advisers to manage discussions with buyers and coordinate the transaction process. By staying closely involved throughout the negotiation and review stages, CDI Global helps maintain progress toward completion.
