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Corporate Finance
Our corporate finance services include strategic planning, business valuation, M&A support, financial modelling, project feasibility analysis, and capital sourcing to drive business growth. We also assist in optimizing financial structures by securing trade facilities, restructuring debt, introducing banking solutions, structuring financing proposals, negotiating with financial institutions, and supporting franchise expansion to enhance liquidity and market share.
CASES
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Distributor of Food Stuff
We led the corporate finance aspects of a transaction between our client and a wholesale trade & distribution buyer, guiding the process from business valuation to deal structuring and legal advisory. Utilizing audited financial data from 2020 and 2021, we initially valued the company at SGD 10 million based on an acquisition of 80% of its shares from existing shareholders.
However, this valuation was subsequently revised to SGD 12 million, contingent upon the successful realization of the asset sum for the buyer. Our financial due diligence and cost-benefit analysis led the buyer to shift from a full acquisition to a targeted asset purchase, for acquiring inventories, PPE, and customer data, with an additional SGD 1 million of goodwill payment for its market reputation. We facilitated the realization of these assets, structured the disposal to maximize shareholder value, and managed the distribution of the net realized amount, which totalled SGD 12 million in dividends.
Additionally, we resolved a long-standing shareholding issue involving a deceased shareholder’s estate and collaborated with legal advisors to draft key agreements, including the Non-Binding Letter of Offer (2021), Binding Term Sheet (2022), Shareholders’ Agreement (2022), and Asset Purchase Agreement (2022).
Our comprehensive financial expertise ensured a smooth and value-maximizing transaction for eventually benefiting both our client or seller and the buyer.
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Spice Importers & Exporters
During our engagement with the client from 1994 to 1998, we assisted to reshape the company’s financial strategy by introducing structured corporate financing solutions.
Instead of having an overreliance on internally generated funds from bank and extended trade credits, we convinced our client for the strategic utilization of bank financing. We facilitated the acquisition of banking facilities such as letters of credit and trust receipts that could be backed by fixed deposits, through a few financial institutions. This transition enhanced the liquidity for enabling the company to increase its trading volumes, which in turn led to a substantial increase in annual turnover with the approximate amount between SGD 30 million and SGD 40 million.
By implementing structured financing mechanisms, we positioned the company for sustained financial growth and operational resilience.