Buyside Acquisition Advisory Services
MPI performs acquisition search services for private
equity groups and operating companies.
Private equity groups retain us to search for two types of companies: stand-alone
acquisitions, or add-on acquisitions to their portfolio companies.
Operating companies retain us
to assist them in growing through acquisition by searching for complementary businesses which can be merged into the parent
Typical transaction size is between $5 million and $150 million.
We are compensated for these services with a monthly
retainer fee and a completion fee at closing.
There are three primary types of acquisition searches:
- 1. Core / Platform Acquisition Search
Many companies are ready to grow to the next level
with the help of the right financial partner, however, they prefer not engaging an investment banker for that purpose.
MPI builds relationships with those companies who wish to work directly with our clients towards a transaction.
MPI's direct approach is strategically superior
to approaching candidates in any other way. By directly contacting the company's ownership, we are able to more effectively
communicate our client's investment philosophy and bypass the auction process.
MPI also assists clients in selection of industries suitable for core acquisitions.
- 2. Complementary / Add-on Acquisition
MPI is well suited
to augment the efforts of your management team in a search for complementary acquisitions. Management teams find it very
useful to their growth plans to outsource part of their efforts.
We often turn up candidates that management thought were unavailable. In addition, competitors are more likely
to communicate with us than someone in their business.
- 3. Industry Focused Search
These searches have been developed based upon extensive
research into industries where we believe private equity investment makes sense. The MPI team has specific experience
within these industries. The following are several basic criteria that we utilize in the selection process:
- Fragmentation / industry leadership opportunities
- Sustainable growth over the next five to seven years
- Favorable paradigm shifts affecting the industry