Executive Summary
BearingPoint Capital assisted Hg with a technology vendor due diligence, demonstrating how the technology setup and organization are key contributors to MEDIFOX DAN’s value proposition.
Leveraging expert analysis in preparation for sale
Closing a transaction depends on accurate and comprehensive data of the target company. As a leading software and services investor, Hg well understood that highlighting the value of MEDIFOX DAN, one of its portfolio companies, was key to crowning its five-year effort that was invested to further enhance the company’s market position. Fueled by continuous innovation and a clear customer focus, MEDIFOX DAN became a leading provider of digital solutions for the German care, support, and therapy sectors, making it a much-desired target for acquisition.
In preparation for the transaction, Hg sought assistance with an objective analysis of MEDIFOX DAN’s technology setup. To demonstrate the company’s tech vision and strategy, platform architecture, and many other particularities, Hg opted for a comprehensive technology vendor due diligence.
Highlighting the technology vision and value
BearingPoint Capital customized its approach to ensure that the technology vendor due diligence answered Hg’s needs for an equitable sale of MEDIFOX DAN. Therefore, throughout the project, the team conducted continuous in-depth assessments of crucial components like the technology architecture, IT security, disaster recovery, IT service management, and customer onboarding/offboarding, to name a few.
The BearingPoint team conducted interviews with MEDIFOX DAN’s technology leadership to gain a holistic understanding of the IT vision, organization, and setup. Findings were presented in a report to demonstrate MEDIFOX's continuous technological progress over the past five years. A transition to cloud-based technology and the use of AI tools were highlighted by BearingPoint subject matter experts for the German healthcare industry, together with technology architects.
BearingPoint Capital created a comprehensive report, including a clear view of the strategic technology vision for the next 5 years and its alignment with the overall business strategy.
Sealing the Deal
The London-based private equity firm benefited from a seamless journey by relying on timely and effective support throughout the entire preparation and sales process. As a result, Hg was able to confidently and comprehensively portray the technology platform and organization of MEDIFOX DAN to prospective buyers. Hg has successfully completed the business transaction of MEDIFOX DAN with a sales price of around $1 billion.
BearingPoint Capital’s deep technological expertise and understanding of transaction processes has helped us several times to better gauge risks and opportunities and we look forward to continue this partnership in the future.
Stuart Pearce, Portfolio CTO at Hg
Client
Hg is a leading investor in European and Transatlantic software and service businesses. With a vast European network and strong presence across North America, around 400 employees and $55bn in funds under management support a portfolio of more than 45 businesses, worth over $100 billion aggregate enterprise value. Hg’s support combines deep end-market knowledge with world class operational resources, together providing compelling support to entrepreneurial leaders looking to scale their businesses.
