Private equity & investors

Test the commercial thesis before committing capital.

Assess demand, technical adoption and the economics behind an investment. Focus the work on the uncertainties that could change your view.

Acquisition thesisTest demand in both directions.
Acquirer’s customers
Chemical & polymer producers
Target’s customers
Converters & consumer brands
Potential cross-selling of data and analytics services

Who we work with

For investment teams, corporate development and portfolio leaders evaluating businesses across the chemicals value chain. Research and analysis are scoped to the decision, access to evidence and transaction timetable.

Example assignments

Standalone primary research

Test an acquisition’s customer rationale

Test buying criteria, customer relationships and switching barriers against the growth forecast. Assess portfolio fit and the credibility of proposed cross-selling opportunities.

Possible outputs

  • Customer evidence
  • Challenges to the thesis
  • Open diligence questions

Challenge the economic assumptions

Standalone modeling

Connect technology and market exposures with margins, investment requirements and commercial terms. Test which assumptions materially change the case.

Possible outputs

  • Comparable scenarios
  • Key sensitivities
  • Conditions for viability

Develop a portfolio growth priority

Advisory & integrated solutions

Compare customer segments, applications and partnerships using market evidence and economics. Prioritize the opportunity and its commercial next steps.

Possible outputs

  • Opportunity priorities
  • Business case
  • Partner and customer workplan

Selected assignments

Customer diligence for a business information provider and financial analysis of commercial alternatives for an industrial materials business.

A chemicals industry data and analytics provider · Commercial due diligence

Does the customer logic of this acquisition hold?

Respondents valued granular supply-and-demand intelligence and wanted to select services relevant to their work. Demand for the combined offering depended on how well the acquirer’s and target’s services met those specific needs.

An industrial materials business · Focused financial analysis

What are the commercial alternatives worth?

The model compared margin pressure, supplier changes and volume commitments in separate scenarios, providing a basis for assessing proposed terms against alternatives.

Commission the work you need.

Commission a focused assignment or combine the approaches in an integrated solution.

Explore integrated solutions

Where does the investment thesis need testing?

Share the thesis, the unresolved questions and the transaction timetable. We can focus the work on the evidence most likely to change your view.

Discuss an investment questionssabitovs@covalent-iq.com