francais russian

REFERENCE

Diagnostic and assessment of a steel pipes producer

Russian Federation
Business activity : Metallurgy - Siderurgy
Area of Excellence : Strategy implementations

Objectives of the project

    • Diagnostic and assessment of EMK, the commercial component of the first seamless pipes producter in Russia (VTZ) to prepare capital opening
    • Evaluation study of EMK on behalf of a foriegn investor

Approach implemented

  • Phase 1 :

    • Detailed review, analysis and assessment of the company and of its development prospects (production, marketing, management, finance, human resources)
  • Phase 2 :
    • In-depth due diligence in order to validate financial valuation
    • Organisational structure analysis and overall development status
    • Review of legal entities within VTZ Corporation including ownership rights, inter-relationships, dependency and management
    • Personnel status (organisational structure, number of employees, level of training, salaries and fringes)
    • Review of areas of improvement
    • Review of major capital expenditures required to meet forecasted production levels
    • Analysis of current marketing, sales and disbribution organisations
    • Analysis of production, sales cash flow and efficiency trend
    • Analysis of fixed assets, description by category with gross and net book value. Valuation based on wester standards, at Russian market value
    • Value of intangible assets (copyrignts, licences, ...)
    • Identification of markor receivables and liabilities
    • Review of commitments and liabilities requiring additional financing or additional liabilities to be booked.
    • Review of legal requirements concerning balance sheet items, tax and social issues in light of planned joint venture 

 



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