|Mergers and acquisitions (M&A)
The free flow of capital resulted in a significant growth of mergers in Hungary. In the case of these transactions, the exploration and assessment of risks of the buyer needs special attention. It is worth being careful, as even in the apparently most flourishing enterprise there might be hidden risks, which may cause severe losses to the new owner if remain concealed.
The expert team of Kolchis Ltd. has elaborated an own methodology, not yet published, to perform due diligence examinations. Our method approaches certain areas of the internal processes of the company audited from a basically auditor aspect, however financial valuation models and the application of the principle of carefulness allows a far more reliable analysis. The detailed exploration of the internal risk of the company being the subject of the acquisition helps to avoid later losses. As the multiple approach of the analysis takes into consideration the sales price increasing motivation of the seller side, our work allows a unique bargaining position to our clients.