Selling your company? Learn the steps and the roles of the players

All manufacturers must be aware of the current surge in consolidation that is changing the dynamics of the apparel industry. Many companies are taking advantage of the current environment and, after reevaluating their business strategies, are deciding to sell their companies as a means of survival....

Full description

Saved in:
Bibliographic Details
Published in:Apparel industry magazine 1999-08, Vol.60 (8), p.58
Main Author: Kestenbaum, Richard
Format: Magazinearticle
Language:English
Subjects:
Acquisitions and mergers
Clothing industry
Confidentiality
Divestiture
Due diligence
Executives
Financial analysis
Investment bankers
Management
Manufacturers
Memoranda
Mergers, acquisitions and divestments
Purchasing
Retail stores
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:All manufacturers must be aware of the current surge in consolidation that is changing the dynamics of the apparel industry. Many companies are taking advantage of the current environment and, after reevaluating their business strategies, are deciding to sell their companies as a means of survival. To understand fully the current increase in consolidation, manufacturers need to be not only familiar with the reasons why an exit strategy may maximize value, but also aware of the process of selling a company. The first step is for the investment banker to learn about the company being sold. The due diligence process is focused on learning as much as possible about the company and trying to uncover hidden problems in an effort to avoid finding them at a later time when their impact will be magnified. After the company and investment banker are satisfied that the due diligence memorandum is as complete as possible, a list of prospective acquirers is developed. After the negotiating process is complete and the company has shaken hands with a buyer, a letter of intent and a contract are signed.
ISSN:0192-1878