Business case
Our client, a leading investment fund, was considering acquiring a stake in a multi-country European energy group operating in electricity and gas transmission, supply and power generation.
Two key challenges emerged: (i) navigating differences in market regulations affecting profitability and (ii) understanding pricing structures across entities. By combining financial modelling with regulatory analysis, we gave the fund confidence in the figures underpinning the deal, enabling a well-informed, strategically sound investment decision.
We carried out comprehensive due diligence across all legal entities and helped the fund design a robust business model for the target. Our work included assessing expected yields and internal rates of return (IRR), normalising historical performance and stress-testing assumptions under different regulatory scenarios to capture market-specific risks.