The Client: a European leading beverages company.

The Challenge: to evaluate the value creation potential of an acquisition of a relevant player in Latin America refining the preliminary client modeling of leveraging their expertise in portfolio development and marketing over the target company platform of brands, distribution, and tradition.

The Evaluation: our advisors enhanced the client draft analysis and improved the category dynamics reading complementing the plan with (i) the exploration of relevant organic initiatives overlooked by the target company, (ii) focus on fewer and bolder portfolio initiatives, (iii) the revisit the frame of reference evaluating adjacency segments potential, (iv) validate innovation pipeline success rate per distribution channel and area, and (v) the refinement of the implementation plan improving events sequencing and A&P eliminating unproductive overlaps in time, channel and geography.

The Solution: the final recommended strategy predicted a total opportunity of more than duplicating the target company baseline revenues in a 5-year timeframe while improving gross margins by the application of the client unique capabilities.

The acquisition was realized, and our client is currently a leading and growing player in the market.