Lead on Buy Side Card Business Acquisition in India
The client was eager to enter the Credit Cards business which would enable it to establish itself as a retail bank with a complete product suite.
When a global bank put its Credit Cards business up for sale, Arete was commissioned to assess the value of the business and providing end-to-end investment advisory services.
Arete advised the bank in 4 stages namely: Deal Evaluation, Due Diligence, Operational Due Diligence, Negotiation and Deal Structuring
Due Diligence Drivers
Impact
‘Client Acquired and Integrated the Portfolio, despite NOT being the highest financial bidder’
Approach & Key Challenges
- Arete carried out the pre-sale due diligence and developed models to show the true potential of the acquisition.
- The due diligence was carried out in multiple stages and Arete developed its own analysis including a prices recommendation
- Arete established rapport with the seller and its operating team to provide comfort and assurance.
- Buyers apprehension was allayed with data and factual information which all implied a value accretive acquisition.