Case studies

Successful acquisition support

Helping an international client realise its UK investment strategy

Deloitte’s Travel, Hospitality and Leisure lead advisory team successfully advised a leading Asian consumer products company in acquiring a collection of restaurant assets.

The Deloitte team has a long-term relationship with the client, having worked with them in 2011 to formulate their UK strategy. Deloitte also has a global relationship with the client, auditing them in Asia.

Background

In 2011, the Travel, Hospitality and Leisure lead advisory team assisted the client in formulating its UK strategy, in particular on how to best enter the UK market via strategic acquisitions.

Deloitte were able to assist them in assessing various assets and advising them on UK standard market practices when rolling out restaurants in the UK.

Additionally, the client is also a key audit client of Deloitte in Asia.

Acquisition Support

Through our previous work with the client, we built a deeper understanding of the client’s investment criteria and were able to identify a group of assets that were suitable for them in 2014. The assets comprised of four restaurants based in and around London.

Deloitte provided full buy side support including the project management of the entire process, negotiation on behalf of the client, monitoring due diligence procedures and assisting with internal board papers to authorise the transaction.

In addition, Deloitte introduced the client to an interim management team who assisted with the handover and integration of the business, and who will continue to operate the business in the medium-term.

VAT Advice

Alongside the lead advisory support provided to the client, Deloitte also advised the client on a number VAT issues surrounding the transaction.

Outcome

The transaction was completed within four weeks with the client taking ownership of the assets.

The acquired assets,  along with their current UK portfolio, gives the client a platform to launch further sites around the UK over the next five years.

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