Case Study: Lavendon Major Acquisition Assessment

The Customer

Lavendon plc is a market leader in the Mobile Elevated Working Platforms market, with a turnover of c.£300m.

Objective of the Work

The work was to investigate the acquisition of a major player in the UK plant hire industry.

The Outcomes

The work delivered clarity on the case for taking a major deal forward, including: the ‘investor logic’ for the combined group; market sizing; impact on competitive position, implication on business structure, cost synergy opportunities, and online capability.

The Approach

The main steps were:

  • Agreed a detailed delivery plan.
  • Desk-top data study of publically available materials on Serpent including ‘mapping’ the target business with the Lavendon’s.
  • Developed the business case.
  • Practically investigated the target business with confidential visits to key locations to confirm the breadth, range, and synergy potential for the deal, and acting as an independent buyer of services, to understand how the business works.
  • Assessed the usefulness of the online capability of the target’s systems.
  • Set out the potential alternative approaches to the business case, including: cost synergy, vertical integration, and adjacent market opportunities

“Staffan assessed the opportunity in great detail, providing an invaluable overview of the business case and opportunity.”         

Don Kenny – Group Chief Executive, Lavendon PLc