The challenge
Palladian Investment Partners is a London-based private equity firm offering capital and expertise to ambitious companies led by proven teams. It favours a collaborative approach, focusing on transactions with a high level of shareholder continuity. Alongside its existing portfolio, Palladian runs a pipeline of new opportunities, some in sectors it hasn't invested in before.
What we did
Over 24 months, we:
- Built a single, dynamic refinancing model for Sciensus, so every refinancing scenario ran from one switchable model instead of a separate model for each.
- Ran sensitivity testing across those scenarios, showing IRR and MOIC for each one and across a range of outcomes.
- Researched the exhibitions sector from first principles to assess the case for a new investment.
- Built appraisal models for three prospective deals.
- Met management teams, corporate finance advisors and investors to stress-test assumptions and validate the data behind each model.
The outcome
- The Sciensus refinancing analysis went to Palladian's investment committee, which approved taking the options forward for discussion with the business.
- The exhibitions work gave Palladian a clear basis to decide not to invest: the sector was highly cyclical and lacked the clear growth drivers Palladian looks for.
- One of the three prospective deals went to a bid and an active investment process. It ultimately didn't complete because of a legal issue unrelated to the financial case.
- Models were turned around quickly enough to meet investment committee timetables throughout the engagement.
Client:
Palladian Investment Partners LLP
Industry:
Private Equity / Investment Management
Region:
London, UK
Service:
Financial Modelling
