1. Frost & Sullivan TechVision and Business and
Financial Services
Integrating emerging technologies advisory services with valuation and
financial analysis consulting capabilities

2. Value Proposition: Our Business and Financial Services Solutions Are
Integral Component of Analysis Across All Verticals
Chemicals & Materials
Food & Personal well being
Environment Construction &
Building
Automotive, Energy & Packaging
Personal Protection
Environment & Building
Technologies
Water & Wastewater
Waste Management
Building Management Technology
Air Treatment
Environmental Health & Safety
Energy & Power Systems
Renewable Energy
Energy Efficiency & Management
Energy Storage Technologies
Smart Grids
Aerospace & Defense
Commercial Aviation
Maintenance Repair Overhaul
Airports & Airport Infrastructure
Aircraft Leasing & Financing
Cargo & Freight
Financial Services
Asset Management
Banks
Diversified Financial Services
Insurance
Specialty Funds
Healthcare
Medical Devices
Pharmaceuticals & Biotechnology
Medical Imaging
Healthcare & Life Sciences IT
Drug Discovery Technologies
Growth
Consulting
Market
Intelligence
Business
Implementation
Business and
Financial Services
Practice
Information
Communication & Technology
Semiconductors
Software and Services
Software
Technology Hardware & Equipment
Telecommunication Services
Automotive &
Transportation
Telematics & Infotainment
Electric & Hybrid Vehicles
Automotive Components
Automotive OEM
2

3. A Sample of Coverage from
Our Emerging Technology
Advisory: The GlobalTop 50
Technologies
Health &Wellness
• HighThroughput Gene
Sequencing
•AntibodyTherapeutics
• Biomarkers
• Cancer Immunotherapy
•Targeted Drug Delivery
• Regenerative Medicine
Information & Communication
Technology
• Surgical Robots
• Digital Pathology
• Neuroprosthetics
• Surgical Laser
Medical Devices &
Imaging Technology
• Context-Aware
Computing
• XaaS Platform
• PredictiveAnalytics
• Machine Learning
• Gamification
• Immersive Computing
• Software-definedAnything
•Augmented Reality
Microelectronics
• Flexible Electronics
•Wearable Electronics
• Smart Lighting
• Near Field
Communication
•Wireless Charging
• Brain Computer
Interface
Sensors & Controls
• Drones
• Smart Sensors
• Biosensors
• Energy Harvesting
• M2M Communications
• Sensor Fusion
Materials & Coatings
• Lightweight Composites
•Anti Corrosive Coatings
• Polymer Chameleons
• Polymeric Catalyst
• Carbon Fibers
Advanced Manufacturing
&Automation
•Agile Robots
• 3D Printing
• Micromanufacturing
• Digital Manufacturing
• Composites Manufacturing
Clean & Green Environment
• AtmosphericWater Generation
• Waste-to-Energy
• WaterlessTechnologies
• Water-Energy Efficiency
• SolidWaste Upcycling
Sustainable Energy
• Lithium Batteries
• Unconventional Oil
• Bioenergy
•Waste Heat Recovery
• Microgrid

4. The NEED to integrate external ideas throughout the value chain
 Patent tracking
 Technology
landscape mapping
 External technology
influences
 Opportunity
assessment and
prioritization
 Identification of key
players and potential
collaborator(s)
Our Recommendations Support and Guide Projects From
Technology Development to Commercialization
Basic ResearchBasic Research Applied R&DApplied R&D
Technology
Demonstration
Technology
Demonstration
CommercializationCommercialization
Technology companies look for opportunities with regard to convergence, applications, and business opportunities
 Technology
assessment and
prioritization
 Ongoing analysis of
emerging and
disruptive
technologies
 Investment and risk
 Country, political, and
economic risk
assessment
 Market/application
evaluation efforts
 Technical strategy
development
 Value proposition
formulation
 Stakeholder buy-in
 ROI
 Application assessment
 IP investigation and
analysis
 Technology drivers and
restraints assessment
 Competitive advantage:
inside primary
knowledge
 Competing technology
benchmarking

5. CurrentF&S
Offering
CurrentF&S
Offering
MaturityDevelopment Growth Decline
Business Life Cycle
IP Consulting
Research For New
Technology
TypesofBFS
ConsultingServices
TypesofBFS
ConsultingServices
Technology
Licensing and
Valuation
Valuation of Start
ups
Project Feasibility
and Viability
Studies
Product Launch/
Development
Geographic
Expansion
Business Valuation
Market Research
for IPO
Business Plan and
Product Valuation
M&A Support
Vertical Market
Expansion
Business Valuation
Financial Planning
and Analysis
Commercial Due
Diligence for M&A
Turnaround
Strategies
Financial Support
for turnaround
Strategies of
distressed firms
Financial Planning
and Analysis
How Our Services Provide Value Across the Business Cycle
5

6. 6
Consulting Services
Project Types

7. PROJECT
FEASIBILITY &
VIABILITY STUDIES
BUSINESS PLAN &
PRODUCT VALUATION
FINANCIAL PLANNING
& ANALYSIS
FINANCIAL SUPPORT
FOR TURNAROUND
STRATEGIES OF
DISTRESSED FIRMS
COMMERCIAL DUE
DILIGENCE FOR M&A
MARKET
RESEARCH FOR
IPOs
BUSINESS
VALUATION
VALUATION OF START
UPS
TECHNOLOGY &
LICENSING
VALUATION
Financial Analysis & Valuation Consulting Services:
Project Types
7

8. The Client: A Major Global Conglomerate
The Challenge Project Objectives
Project Feasibility
Analysis for relocating
plant operations in the
O&G piping sector
from India to South
East Asia. Green
pipes and heat treated
pipes were considered
for analysis.
Market Related:
• Determination of supply & demand
• Pricing analysis
• Determination of drivers, restraints and
challenges
• Assessment of import/export market
opportunities
• Determination of applications for end-
products
Financial Model Related:
• Determination of key financial indicators such
as project IRR, NPV, equity IRR, debt and
equity components and initial working capital
requirements
• Sensitivity analysis including base case, best
case, and worst case scenario analysis.
• Preparation of bankable reports
Our Approach and Work
Inputs from market study and those from the clients were first gathered. Based on experience of working on similar
projects in Malaysia and South East Asia, the inputs such as salaries were gathered, verified and adjusted accordingly.
Comparable companies were identified to obtain key indicators such as target capital structure, cash conversion cycle
and other valuation multiples. Using the inputs, key financial statements-Balance sheet, cash flows and income
statement were built. Also, key indicators such as Project IRR, NPV and equity IRR were computed. The dynamic
model also included sensitivity analysis and scenario analysis.
Outcome and Business Impact
The project, with estimated capital requirements of over USD 185 million, is expected to have a project IRR of 24.5
percent and a pay back period of around 6 years from start of operations. The company has decided to move its
operations to South East Asia based on this recommendation.
Case Study: Project Feasibility & Viability Studies
8

9. Commercial Due Diligence for M&A
Clients
• Companies with stagnating growth
• Companies looking for strategic partners to expand geographically (regional, national, global)
• Companies seeking to raise capital by selling one of its business divisions
• Companies planning to sell off a non-profitable business unit
• Companies looking for profitable investment opportunities to fit their budget for the year or to make use of
excess available cash.
Description
• Mergers and acquisitions present an inorganic growth option for many cash rich companies. However, poor
acquisition strategies have been the bane of many mergers. The Business and Financial Services team
enhances the chance of finding suitable target companies through unbiased and accurate target valuation
using different techniques based on financial concepts. The entire process of providing support includes
support with negotiations, complete commercial due diligence and strategic direction throughout the
acquisition process.
9

10. The Client: A Large Japanese Multinational Engineering And Electronics Conglomerate Company
The Challenge Project Objectives
• A large Japanese multinational engineering and
electronics conglomerate company was interested in
entering the United States healthcare analytics
market, through acquisition of a start-up in the
healthcare analytics space.
• Uncertain about the financial risks and business
viability of entering a new geography by investing in a
start-up, the client sought Frost & Sullivan’s
experience in understanding the risk of healthcare
business, identifying the right target, and the expertise
in building financial models to quantify the risks and
benefits to come up with a value for the target
acquisition.
• To conduct the as-is assessment of the current trends
impacting the healthcare scenario in the region and
identify the right target in the healthcare analytics
space.
• Study the business model of and project the future
revenues and costs of the target’s business.
• Incorporate the finding into a dynamic financial model to
identify the optimum acquisition value with the
projections on return on investment.
Our Approach and Work
• A comprehensive 10 year financial plan was prepared covering revenue and operational expenses based on the
evolving business model of the target.
• The value of the target was calculated by two approaches namely the Discounted Cash Flow( DCF) and Relative
Valuation. To arrive at a more accurate value, the relative valuation approach included comparables such as Market
Cap/Sales, TEV/Sales and TEV/EBITDA.
• Highly dynamic sensitivity analysis was created out for different business scenarios of the target company namely
Conservative Scenario, Growth Scenario and Aggressive Growth Scenario.
Outcome and Business Impact
• Our detailed market study coupled with the financial model has helped the client make specific decision on
acquisition of the start-up and the value at which the target should be acquired.
Case Study: Commercial Due Diligence for M&A
10

11. Business Plan & Product Valuation
Clients to Target
• Companies looking for angel funding (seed funding)
• Companies looking for strategic partners within the ecosystem
• Companies looking to raise money (series A,B,C funding ) by presenting the business to potential venture
capitalists
• Companies planning to pursue IP valuation for its product/technology/service
• Companies in the start up stage, looking for partners that may help in commercializing the product (or) take the
company to the next level.
• Companies looking for an exit strategy and wanting to wind up and sell part or all of promoter's stake in this
process.
Description
• Start up ventures and new product initiatives often require support from angel investors and seed funding
agencies. One of the foremost requirements of such a funding process is a solid business plan backed by
strong market fundamentals and future growth prospects. The Business and Financial Services team is
uniquely positioned to assess the quantitative and business implications of the market research analysis.
The Business and Financial Services team supports with validation of different aspects of the business
plan like market report, financial report, operational plan and the bankable report. It also supports the effort
to identify interested investors and support negotiations so that the entrepreneurial venture gets funded
and the angel investor gets a suitable equity stake based on a fair valuation of present and future cash
flows.
11

12. The Client: An Autonomous Institution under Ministry of Science and Technology
The Challenge Project Objectives
• An Autonomous institution under the Ministry of
Science and Technology designed and developed a
low cost medical device as a part of its strategic
response to inflating healthcare costs in the country.
• Uncertain about the competitive edge for such a
product in the market which already has presence of
low cost devices by multinational medical device
majors, the client sought Frost & Sullivan’s experience
in understanding the medical device market and
expertise in building business models
• To conduct a meticulous assay of the market for low
cost medical device and understand the existing gaps in
both price and technology fronts.
• To build a business plan with the data on potential
needs of customers and demand gaps in the existing
market and develop a dynamic business model
• To determine the feasibility of establishing the
manufacturing set up in terms of optimum investment,
pricing strategy and business model with the projections
on return on investment.
Our Approach and Work
• A comprehensive business plan with 10 year financial plan was prepared covering revenue, operating and capital
expense and the key financial metrics like IRR and NPV for the right decision.
• The dynamic nature of the business plan gives the flexibility for the client to understand the impact of various cost
factors on the business model.
• Propose market entry strategies namely outsourcing, vendor selection, cost of component, sales strategies, etc with
their implication on profit and operating margins. Identify right pricing strategy for different clusters of customers and
the effect on profitability and project feasibility
• Highly dynamic sensitivity analysis was also carried out for different business scenarios which includes Base case,
Best Case and Worst case scenarios.
Outcome and Business Impact
• Our detailed market study conjoined with the financial model has helped the client to make specific decision on the
pricing strategy, phases of investment, discount strategy and informed understanding of the potential returns for the
capital invested. The financial metrics helped the client to present a strong case for this project to the finance
ministry for funding requirements.
Case Study: Business Plan & Product Valuation
12

13. Market Research for IPOs
Clients to Target
• Companies looking to raise funds.
• If it is equity route, whether they are going to go for Initial Public Offer/Follow-up public offer.
Description
• The Business and Financial Services team can assist companies considering IPOs by performing Diligence
through site visits, interviewing top and middle management, analyzing financial statements and
competitive benchmarking. IPO valuation is a key part of the deliverable and involves financial, commercial
and business due diligence. The Business and Financial Services team also looks at an unbiased and
accurate valuation using different techniques keeping in the mind the debt financing history of the company.
In addition, Business and Financial Services provides strategic directions in the entire process.
13

14. The Client: A leading NBFC in India
The Challenge Project Objectives
A leading NBFC in India required an independent
assessment of its market share in a niche customer
segment. The niche segment was defined as small loan
(loan value below INR 10 lakhs) credit market for MSMEs
(Micro, small and medium enterprises) in India. Since the
credit demand for most of this segment is catered by
unorganized sources, the challenge was to use a methodical
and logical approach to assess demand, market size and
identify market share of key players in this segment.
To conduct independent market research that would form
material for an IPO prospectus that would include the
following
• Market size of Small loan MSME credit market for NBFCs
in India
• Estimates of market growth rate based on Scenario
analysis – Best case, Base case and Worst case
• Historical market share (2010 – 2012) of key players in this
segment and estimated market share for the FY 2013.
Our Approach and Work
• Established the total credit demand of the MSME segment in India based on available resources such as reports by
government authorities and other financial institutions. Identified the structure of finance supply for MSMEs and estimated
the market share of NBFCs that cater to the small loan MSME credit demand vis a vis other sources of credit such as
banks, private equity and venture capital companies and other unorganized sources.
• Identified the share of small loan credit demand based on interviews with leading NBFCs in India.
• Estimated future growth rates (FY2013 – FY 2020) based on three different set of macro economic assumptions. This
formed the basis of three different scenarios – Base case, Best case and Worst case.
• Identified key players and conducted interviews to understand their outlook and their current market presence in this
segment.
Outcome and Business Impact
Key market statistics such as market size, demand, supply, different sources of credit, growth estimates, drivers, restraints,
market share of key participants and market leader were ascertained for a niche customer segment (Small loan MSME credit
market). The report was well received by the client and will be included as a part of prospectus material for an upcoming Initial
Public offering (IPO) by the client.
Case Study: Market Research for IPOs
14

15. Business Valuation
Clients to Target
• Companies looking to acquire entire businesses of smaller companies to increase the diversity of their
footprint.
• Companies interested in exploring new opportunities. This includes start-ups as well as established firms
that want to enter a new vertical or offering.
• Companies looking to divest a portion of their business.
Description
• Private companies at times need unbiased, third-party valuation of the company. Business valuation lies at
the core of our financial support and involves multiple techniques like discounted cash flow analysis,
comparative valuation with existing public companies and comparative valuation with recent M&A activity.
The foundation of this valuation is a dynamic financial model with a comprehensive sensitivity analysis to
calibrate risk more accurately. Multiple scenarios are considered to factor in the impact of changing macro
parameters. The output consists of key financial criteria like the Net Present Value and Internal Rate of
Return. The dynamic nature of the model also helps us to suggest effective financial management
techniques to the clients.
15

16. The Client: A start up power transformer manufacturer
The Challenge Project Objectives
• A start up power transformer manufacturer in Oman was
looking to sell 25-40 percent of their equity stake in view
of establishing strategic partnership that would help them
to penetrate into new markets. The company required an
independent third party equity valuation to arrive at a
selling price for this transaction.
• Frost & Sullivan was required to identify new markets for
sale of transformers and potential partners for the
manufacturer.
• Frost and Sullivan was also expected to do detailed
valuation of the company’s equity using different valuation
techniques.
To conduct independent market research and business
valuation to help arrive at a selling price for the equity stake
• To establish total Market size in Middle East by different
countries for power transformers and to identify potential
markets, possible degree of penetration and estimated
market share over the projection period (2013-2022).
• To project Sales and expenses between 2013 and 2022
based on actual performance between 2011 and 2012 and
other market and company inputs.
• To calculate the value of equity stake based on different
valuation methods such as Discounted Cash flow analysis,
Net Assets Method, Comparables Valuation Method.
Our Approach and Work
• Market feasibility analysis provided the required inputs on potential markets for sale, sale prices in different countries, and
total market size.
• A comprehensive financial plan was prepared projecting revenues, variable costs, fixed costs, working capital and proforma
financial statements were prepared over a 10 year period based on historical performance, planned capital expenditure,
and other material inputs from the market and the company.
• Different Valuation methods were used to evaluate the equity of the company and weighted average equity value was
calculated.
• Scenario Analysis that provides the flexibility to change multiple key parameters that affect the valuation metrics was also
included as a part of the financial model.
Outcome and Business Impact
• Our business valuation, market research combined with detailed financial projections has helped the client estimate its
equity value in different scenarios (Base, Best and Worst) and identify potential targets for sale.
• The business valuation would aid the client in striking a deal with potential strategic partners that would help the company
penetrate into new markets for sale.
Case Study: Business Valuation
16

17. Financial Support for Turnaround Strategies of
Distressed Firms
Clients to Target
• Companies performing in ailing industries with low profit margins
• Companies which are very low on liquidity when compared with the industry
• Companies interested in divesting their non performing assets/ SBUs
• Companies looking to acquire non performing assets
Description
• Ineffective financial management often leads to lowering the profitability and in extreme cases may be
the harbinger of bankruptcy. The Business and Financial Services team boasts of a solid team that is
well quipped to diagnose the cause of poor profitability. The techniques adopted include dynamic
financial modelling, financial benchmarking with industry peers, comprehensive ratio analysis and
comparative M&A valuation. The recommendations for turnaround include effective working capital
management techniques, optimization of the capital structure, suggestions on the dividend policy
besides other key aspects. In certain cases, the Business and Financial Services team also supports
a business strategy of divestiture if required.
17

18. The Client: A start up power transformer manufacturer
The Challenge Project Objectives
• The client is a Saudi Arabia based public share holding
company. It has 3 business units:
Wire drawing and related products factory, Foundry
(dealing with iron and steel castings) and Machine shop
• The foundry and machine shop are currently under
performing according to their latest internal assessment.
Declining profitability, increasing fixed costs, declining
market share, increasing inventory levels and increasing
idle machines is a testimony to this.
• The client intends to analyze its current state & identify
strengths and weaknesses in order to capitalize its
resources and set direction to move forward.
• Diagnosis of current business operation, define corrective
measures
• Local market assessments and analysis of the existing
product range
• Identify opportunities for expansion of current business
lines
• Identify new business opportunities including possibilities of
joint ventures, mergers, acquisitions and green field
projects
• Develop five (5) year financial target based on opportunities
developed above
Our Approach and Work
• A thorough assessment of their operations viz - Internal w.r.t manufacturing process / systems & external w.r.t market
opportunities, product ranges etc to put together a 5 year growth strategy with an aim at reviving the 2 units.
• Detailed product performance analysis was done for each products (total of 11) sold by the foundry and the machine shop.
Based on the individual product performances, detailed performance report was developed for two divisions as well.
• A cost-savings analysis, illustrating the savings realized by performance improvements, was also done as part of the study.
• Based on inputs from the overall performance, balance sheet and cash flow statements were developed.
• Comparison of performance indicators with comparable companies in the Middle East and across the globe.
Outcome and Business Impact
• Reduction in inventory days, foundry rejections, customer quality problems, setting time, idle time & break down losses and
improvements in sand-to-metal ratio are some of the key areas where savings are envisaged for the client’s Foundry and
machine shop.
• The cost savings analysis provided strategic direction to the client to achieve its objective.
Case Study: Financial Support for Turnaround
Strategies of Distressed Firms
18

19. Technology & Licensing Valuation
Description
• Innovators are often excited about inventions that they see as disruptive or providing superior technology
advantages. However, entrepreneurs need to clearly assess the business implication of commercialization
and licensing of a technology. The Business and Financial Services team with its sound technology
valuation platform has the unique advantage of impartially reviewing the claims of the innovator. A few such
tools include raw material analysis, review of technology benefits, market demand, supply chain analysis,
optimal pricing strategy, promotion strategy, and potential exit plan options. We help entrepreneurs with a
bankable report to raise capital and identify suitable investors. Support is also provided to help them design
business plans and approach for financing or building public private partnerships.
• Start up companies that need to understand the market potential of its technology; or in need of investors or
partners for commercialization
• Technology-based companies trying to license a technology or define and understand the market for an
existing technology
• Government agencies investigating the commercialization of technology
• Universities trying to find investors for spin-offs
19
Clients to Target

20. The Client: National Jute Board of India
The Challenge Project Objectives
Techno Economic
Feasibility Analysis
of two new
innovations involving
jute and the
construction
industry
Market Related:
• Determination of supply & demand
• Pricing analysis
• Determination of drivers, restraints and
challenges
• Assessment of import/export market
opportunities
• Determination of applications for end-
products
Financial Model Related:
• Determination of key financial indicators such
as project IRR, NPV, equity IRR, debt and
equity components and initial working capital
requirements
• Sensitivity analysis including base case, bet
case and worst case scenario analysis.
• Preparation of bankable reports and investor
memorandum
Our Approach and Work
Inputs from market study and those from the clients were first gathered. Based on experience of working on similar
projects in India, the inputs such as salaries were gathered, verified and adjusted accordingly. Comparable companies
were identified to obtain key indicators such as target capital structure, cash conversion cycle and other valuation
multiples. Using the inputs, key financial statements-Balance sheet, cash flows and income statement were built. Also,
key indicators such as Project IRR, NPV and equity IRR were computed. The dynamic model also included sensitivity
analysis. Major manufacturers, suppliers, customers and industry experts were contacted for the purpose of
understanding the market and getting key inputs for the model.
Outcome and Business Impact
The project, with estimated capital requirements of over INR 10 crore is expected to have a project IRR of 40 percent
and a pay back period of around 3 years from start of operations. NJB has presented the pre feasibility study to
potential investors.
Case Study: Technology & Licensing Valuation
20

21. Financial Planning & Analysis
Clients to Target
• Companies seeking to build its strength in competitive intelligence and know more about its competitors.
• Companies wanting to benchmark its performance against its competitors to devise strategies
• Companies wanting to know the performance of one of its divisions to assess whether to sell or invest more
in the firm
Description
• What should be the optimal capital structure for our company? How do we apportion costs between
various SBUs or various service lines of the company? Which divisions are driving the company’s growth
trajectory and which should be divested in a 3-5 year timeline? These aspects of planning are an integral
component of every forward thinking company. Business and Financial Services supports detailed
financial analysis and planning and develops innovative business metrics for competitive benchmarking.
This assists the client to understand their competitive advantage better and fine tune their strategy to
maintain the winning edge.
21

22. The Client: A Major Copper based company in India and Middle East
The Challenge Project Objectives
Devise the optimal
plan for building an
integrated copper
plant in Middle East.
The idea was to
produce 6 products
(20 sub products)
and sell in 3
geographies
Market Related:
• Determination of supply & demand
• Pricing analysis
• Determination of drivers, restraints and
challenges
• Assessment of import/export market
opportunities
• Determination of applications for end-
products
Financial Model Related:
• Determination of key financial indicators such
as project IRR, NPV, equity IRR, debt and
equity components and initial working capital
requirements
• Sensitivity analysis including base case, best
case and worst case scenario analysis.
• Preparation of bankable reports
Our Approach and Work
Inputs from market study and those from the clients were first gathered. Based on experience of working on similar
projects in Middle East, the inputs such as salaries were gathered, verified and adjusted accordingly. Comparable
companies were identified to obtain key indicators such as target capital structure, cash conversion cycle and other
valuation multiples. Using the inputs, key financial statements-Balance sheet, cash flows and income statement were
built. Also, key indicators such as Project IRR, NPV and equity IRR were computed. The dynamic model also included
sensitivity analysis and scenario analysis.
Outcome and Business Impact
The project, with estimated capital requirements of over USD 162 million is expected to have a project IRR of 16.5
percent and a pay back period of around 6 years from start of operations. The product types have been ordered in
terms of profitability. The company has expressed satisfaction over the results in terms of analyzing various scenarios
and making an informed decision.
Case Study: Financial Planning & Analysis
22

23. Valuation of Start-Ups
Clients to Target
• Start-up companies trying to raise funds
• Start -ps companies trying to raise capital as part of series A, series B, or series C funding
• Start-up company founders looking at making a cash exit
• Companies considering acquiring a start up company
Description
• With the increasing success of entrepreneurial ventures, start-ups have started to become ubiquitous.
However, angel investments have also been tougher to get for the start-ups who find it tough to negotiate
with angel and venture capital investors. The Business and Financial Services team looks at a fair and
impartial valuation of start-ups in their bid to raise funding at all stages- seed funding, or series A,B, and C
of venture capital funding. The Business and Financial Services team assists start-ups to refine their
business model through dynamic modelling techniques. Scalability is a key factor of investor appraisal. The
Business and Financial Services team helps angels to understand the fair value of the start-up in terms of
expectations of future revenue and likely valuation of a potential exit or IPO in a 5-10 year timeframe.
23

24. The Client: A Large Conglomerate in the Middle East
The Challenge Project Objectives
• A very large conglomerate in Middle East was looking
to start a chain of wellness centres offering various
cosmetic and wellness services as packages in the
Middle East.
• The challenge was to identify the optimal combination
of services and club them as packages that would
attract customers while remaining financially attractive
to the investor. This involved identifying various
activities (referred as “service”) and the costs
attributable separately to each of the services.
• To conduct an as-is assessment of the current wellness
market scenario in the region to identify the benchmark
revenue with cost structures and cost drivers.
• Estimate costs using activity based costing to identify
and do a Cost- Benefit analysis to determine
attractive packages.
• Incorporate the findings into a dynamic financial model
to identify the optimum investment with the projections
on return on investment. Identify the right capital
structure to maximize the investment returns.
Our Approach and Work = MARKET STUDY + FINANCIAL FEASIBILITY (Cost-Benefit & Sensitivity )
• A comprehensive 10 year financial plan was prepared covering revenue, operating and capital expense and the key
financial metrics like IRR and NPV for right decision making.
• Costs incurred for each package were computed based on the services offered in each package, equipment used
and the resources utilized by these services. Proposed the approach for the project in terms of number of
investment phases, equipment finance mode, right capital structure, etc.
• Highly dynamic sensitivity analysis was also carried out for different business scenarios which includes Base case,
Best Case and Worst case scenarios in addition to the combination of services in these scenarios.
• The dynamic nature of the sensitivity analysis along with Cost-Benefit analysis gives the flexibility for the client to
understand the impact of various cost factors on the outcome of the project.
Outcome and Business Impact
• Our market study coupled with the financial model comprising sensitivity analysis & Cost-Benefit analysis has
helped the client to make specific decision on the nature of services to be incorporated in the facility.
• The financial model helped the client to present a strong case for this project not only to individual investors but also
to public funding agencies for the cause of funding.
Case Study: Valuation of Start Ups
24

25. 25
Sample Screenshots of Business and Financial
Services Output

26. Sample Output 1: Representative Financial Parameters
Output for all Project Types
26
Comprehensive assessment of all critical financial
parameters: Capital structure, key investor criteria and ratios

27. Sample Output 2: Representative Sensitivity Analysis
and Dashboard of a Valuation based Financial model
27
Wide ranging Sensitivity Analysis and Interactive Dashboard

28. Sample Output 3: Representative Sections of Final Report
28
Clear business Strategy emerging out of solid research backed by
robust modelling