The transport and services sectors are undergoing significant changes arising primarily from globalisation:
- extension of the relevant international scope to benefit from the rapid growth of emerging countries and address the desire by major customers to have a standard offer worldwide
- specialisation and refocusing on core activities to remain competitive in the face of increasingly globalised competition
- optimisation of both asset ownership and network structure to better finance this international expansion: use of leaseback transactions (hospitality) or operational leasing (transport), growth via franchise networks (automotive repairs), negotiation of local partnerships or creation of international alliances (example of the airline sector).
In a context where access to debt financing has become more limited, the choice of the optimal strategy must be supported by in-depth analysis of the different options considering all possible financial resources available:
- scope for potential acquisitions, taking into account available opportunities as well as the company’s financial resources, including possible disposals of non-strategic assets or further opening up the capital to financial investors
- identification of possible alliance strategies, with or without capital stakes, considering potential synergies as well as possible control over product policy and standard of quality
- study of possible merger scenarios with a larger operator and, if relevant, optimal timing and conditions of such a transaction for the company and its shareholders.
Gimar & Cie advises and assists operators and their shareholders in these decisions by analysing the financial feasibility of the different options and helping them implement all M&A components of the chosen strategy:
- assistance throughout the acquisition process for the execution of sizeable transactions targeted to achieve a strategic leap, or of a series of smaller acquisitions to consolidate the company’s situation in several markets
- disposal of non-strategic assets; sale of non-core divisions or lease back transactions on operating assets in the framework of structured deals with financial investors
- selection and approach of potential partners to form strategic alliances, assistance in all aspects of negotiations including defining an optimal structure for the partnership
- fund raising marketed to financial investors already experienced in the sector and meeting the expectation of current shareholders regarding governance
Gimar & Cie has significant capabilities to support its clients as they face these new challenges:
- in-depth knowledge of sector economics, in particular for the logistics, freight forwarding, see, road, rail and air transport sectors as well as related service activities
- extensive M&A advisory experience in successful cross-border merger transactions and strategic alliances, for large and mid-sized companies
- broad access to financial investors with an interest in these sectors: private equity funds, sovereign funds, and infrastructure funds interested in asset disposals in the framework of structured deals
- an international network of partners specialised in M&A advisory services with whom Gimar & Cie has developed longstanding, trusting relationships in many countries, and in particular in emerging countries
- the ambition to provide our clients with long-term support, from prior analysis of their initial needs through to completion of the deal.