Services for Institutional LP’s, Private Equity Direct Investors, Financial Services Firms & Corporate Investors

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< Back to Previous PageStrategic & Market Assessment Services

Frequently, if an institutional investor is still exploring whether to execute a secondary transaction, or has decided to execute a transaction, but has not determined which LP Interests or Direct Portfolio Companies to include in the transaction, we are called in to be of assistance. Azla advises clients who may be considering a secondary market transaction, liquidity strategy or divestment on whether to go to market, make additional investments in the assets or LP Interest in order to improve value or hold the assets until a more optimal market environment develops.

Azla’s Market Assessment Advisory Process
During each Advisory Engagement, we:

  • Perform Due Diligence and Valuation of underlying portfolio companies of the General Partnership or the specific portfolio companies being considered for divestment:
    • Evaluate Market Opportunity & Business Plan.
    • Determine the true status of Company's products --- how layoffs may possibly impact deliverables, new releases and customers, etc.
    • Determine Health of Sales Pipeline.
    • Investigate sustainability and motivation of Management Team.
    • Evaluate impact of future investment rounds on other exit opportunities.
    • Perform current valuation of each company in portfolio of underlying GP Partnerships or Direct Portfolio and a "Bottom up" valuation recommendation for total portfolio which can be used as a negotiating tool.
  • Perform Due Diligence on each GP in the LP Interest portfolio in order to determine their ability to manage their respective portfolios effectively:
    • Determine whether other commitments such as raising and investing a new fund or managing other portfolios inhibit the GP's Focus on the fund being considered for divestment.
    • Determine the true Value of "Access" to future funds of the GP whose fund is being considered for divestment.
    • Evaluate Succession Issues impact on strength of future funds of the GP.
  • Perform an analysis of the market environment and potential interest level for Interest or Assets being potentially divested:
    • Market Survey of current status and pricing in secondary market or multiples/comparables in Portfolio Company’s space.
    • Identify buyers with strategic considerations who may pay a premium.
  • Provide a detailed report for our client.

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