Investment Research & Analytics for Private Equity / Venture Capital (PE, VC) Firms

Capability Overview

Private Equity and Venture Capital (PE / VC) firms utilize Aranca's research outsourcing support across the entire investment life cycle, right from deal origination to portfolio monitoring and strategy support for portfolio firms. With our assistance, PE/VC clients are able to focus on critical deal activities, while leveraging our experience across sectors and geographies to facilitate better decision making.

Deal Origination Support

Sector scan and opportunity assessment
  • Sector reports
  • Evaluation of investment opportunities in different sectors
  • Thematic reports
    • Identification of investment themes
    • Deep-dive analysis of select themes
    • Market trend reports
Industry data mining
  • Industry level data compilation (e.g. operating metrics, margins)
  • Company specific data
Target screening and profiling
  • Screening companies based on specific criteria
  • Preparation of brief profiles/snapshots on long list of companies filtered through the screener
  • Detailed profiles on shortlisted candidates

Deal Evaluation Support

Business plan evaluation
  • Validation of assumptions
  • Critical review of financial projections
Financial modeling and valuation
  • DCF, comps analysis
  • IRR, payback period calculation
  • Sensitivity analysis
  • Precedent transaction analysis
Business due diligence
  • Market attractiveness assessment
  • Competitive landscape analysis

Portfolio monitoring, strategy & communication support

We assist private equity clients in strategy and business development support. We also help them to regularly monitor their portfolio and communicate with their investors through periodic or ad-hoc reports/newsletters.

Portfolio monitoring and value enhancement
  • Periodic valuation of portfolio companies
  • Competitor benchmarking
  • Partnership/JV/M&A opportunity analysis
  • Customer identification, supply chain enhancement
  • Industry development updates
Strategy and communication support
  • Newsletters and other periodic reports
  • White papers
  • Investor communications

Fund raising support

Aranca provides PE clients with research support to aid their fund raising process. This may involve detailing out investment hypotheses as well as preparing case studies and pitch books.

  • Private placement memorandums
  • Fund pitch books/road show presentations

Assignment Examples

  • Dedicated team for a US based PE helping general partners with screening investment themes/opportunities
  • Dedicated team for a MENA based PE to develop PPM and road show presentations
  • Dedicated analyst support for a Middle Eastern PE firm; work includes drafting sector/thematic reports, preparing private placement memorandums (PPMs) and preparing monthly newsletters
  • Dedicated analyst support for Saudi Arabia based PE firm; work includes preparation of market databases and updating them, presentation support and company analysis
  • Three analysts’ dedicated team support for a leading PE in GCC; work includes financial modeling, drafting PPM documents and presentation support
  • Identifying and profiling mid-market companies across specific investment themes for a PE firm based in the US
  • Identifying investment opportunities in the global toll road theme for an European PE firm
  • Comps analysis and precedent transaction analysis for a PE firm in the US planning to take one of its portfolio companies for IPO
  • A study on the attractive sectors and themes for an US based PE firm evaluating opportunities in Asia
  • PPM for leading PE firm in the GCC for arising fund to be invested in alternative energy companies
  • PPM for a leading UAE based PE firm for raising money for a fund to invest in green building technology company
  • Assisted a Bahrain based PE firm on drafting a PPM for raising money to be invested in students accommodation properties in Europe
  • Drafted PPM document for a Middle East based PE firm for raising fund to be invested in education, energy, tourism, agriculture and textile sectors
  • Prepared a PPM document and a road show presentation for a leading investment firm in Qatar trying to raise money to be invested in affordable housing projects in Brazil
  • Drafted a PPM for a leading investment house in Saudi Arabia for raising fund to invest in a hotel property in Saudi Arabia
  • Prepared a PPM document for a leading PE firm in GCC to raise money to invest in a UK based VFX software company
  • Building credit rating models for a GCC based PE firm interesting in investing in unrated Islamic bonds (Sukuks)

Case Studies

Project:
Identifying investment opportunities in the global Toll Road theme

Client:
A large European Asset Management firm looking for research support to identify and assess investment opportunities in the infrastructure (toll roads) space during times of high inflation.

Project:
Dedicated analyst support –preparation of sector and thematic report, PPM documents and monthly newsletters

Client:
A large PE firm in the Middle East focusing on investments in education, healthcare and renewable energy sectors . Aranca supports the client with a dedicated analyst model

Project:
A comprehensive financial model to capture a PE firm’s business and operating plan

Client:
A PE firm focused on investing in key infrastructure sectors in Africa, engaged Aranca to develop a comprehensive financial model which will act as an internal tool for management information, budgeting, financial analysis, performance assessment and other related purposes.

Project:
Initial review note and financial model auditing of potential investment opportunities for a Europe based PE firm

Client:
A large European PE firm focusing on investments across different geographies. Aranca supports the client with preparation of initial review notes on potential investment opportunities and also with financial model audit

Project:
Developing business plan for portfolio companies for a MENA based PE

Client:
A leading PE firm based in the Middle East. Aranca assisted the client with the preparation of a detailed business plan for one of its portfolio companies planning to set up age management clinics. Aranca submitted a business plan document supported by a financial model

Project:
Market study on ARM based SoCs used in computing, consumer and electronic devices

Client:
A European PE firm commissioned Aranca to do a detailed study on end-markets where ARM architecture based system-on-chips (SoCs) are used extensively and the potential for X86 processors to make in-roads into these devices

Project:
Identification and profiling of companies in target sectors with specific technology capabilities

Client:
A US based PE firm looking for profiles of mid-market companies across specific investment themes. Aranca supports the client through a dedicated team model