Valuation and advice on the sale of a business line of an office equipment company
Summary
ST strategy valued the company and advised the shareholders on the sale of one of its business lines.
The office equipment and services sector is consolidating: larger players are integrating local companies to add clients and recurring maintenance contracts.
OfficeSolutions* is a family company offering printing equipment sales, maintenance contracts, IT and audiovisual solutions and print production services to businesses in its region, with a significant share of recurring revenue.
ST strategy valued the company and advised the shareholders on the sale of one of its business lines.
Office equipment
Valuation
Sale of a business line
The full story
Opportunity
The shareholders wanted to know the value of the company and of each of its activities to decide which perimeter made sense to keep and which could be more valuable in the hands of a sector player.
Recommendations
Based on the analysis carried out by ST strategy, we worked on:
- Analysis by business line: Study of revenue, clients and profitability of each activity.
- Business plan: Scenarios with and without the business line involved in the transaction.
- Valuation: Approximation of value using several methods, highlighting revenue recurrence and synergies for an industrial buyer.
- Negotiation: Guidance for the negotiation with potential buyers and advice on the sale of the business line.
* The confidentiality of our clients is a priority of the company. Although we have changed their names, the information is real.