How can due diligence decrease your investment costs?Type of Company: Large, multi-national corporation
Industry: Aerospace
Client's IP Issues
Our Client needed to evaluate the soundness of an IP story regarding a joint
venture in which they were investing.
- The joint venture included two parties: Company A, which owned the IP around
the technology, and Company B, which owned the hardware design. These parties
came together as a joint venture and married the product to the IP.
- Company A was demilitarizing this technology for the commercial market.
- Company A and Company B had a poor working relationship and wanted to cash
out this successful joint venture.
- Our Client decided to buy the joint venture from Company A and Company B
and needed to evaluate the deal.
ipCG Services
ipCG was contracted to perform the IP portion of the due diligence that was related
to our Client's purchase of the joint venture.
We reviewed the Companies' current IP relative to their current product
offerings and market position. We compared these findings to the current product
offerings and market position of IP competitors, to determine the relative strengths
and weaknesses of the Companies' technology position.
We looked closely at the IP positions of key suppliers, the retained know-how
of the joint venture participants, and the overall technology and IP dependencies
of the joint venture.
Finally, we developed a strategy to address identified issues and created a
pre-closing and post-closing action list.
Benefit From ipCG Services
- All issues raised in this > $80M joint venture deal were addressed.
- Dealmakers on each side agreed with the IP due diligence results. Our
assessment decreased the purchase price of the joint venture for our Client.
- After the deal was complete, our Client reassessed the newly acquired
IP and obtained a detailed risk analysis.
- Our Client requested additional ipCG services that enhanced the acquired
IP portfolio.
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