Capital Restructuring

Harsh economic climate embedding rapid market changes, new business models, and disruptive technologies may plunge companies into serious financial distress. Deliberately disregarding these elements could negatively impact the corporate survival, leading to a host of problems including under performance, declining earnings, funding issues and cash-flow blockage to name a few. Business Restructuring can remove the challenges.

The Challenges

Companies seek an efficient way to overcome the numerous challenges such as:

Anticipate and manage industrial change
Local and international differentiation
Improve operational performance and optimize investments
Face increase of fixed cost
Increase the level of cash flow
Maintain and optimize financial resources
Regain the confidence of financial partners
Dev Mantra provides following restructuring services to overcome the above numerous challenges:

1.Independent Business Review:

Industrial approach review: value chain analysis, purchase process review, production process review, logistic implantation review, etc.
Commercial approach review: mix of product-market, client portfolio analysis, sales process, after-sales services, sales workforce competences, key performance indicators, etc.
Financial approach review: allocation of fixed and variable costs, sensitivity analysis, capital expenditure needs, working capital (focus on reduction of inventory), financial debt, gearing, capital structure, etc.

2.Strategic, industrial and operational restructuring:

Corporate strategy review (e.g. mission, objective, strategic fit of business units, governance principles, make or buy strategy)
Industrial analysis(e.g. industrial processes, quality of tangible assets, transportation costs, product routing, raw material selection, location of production facility)
Analysis of business processes
Review the allocation of resources and capabilities throughout the organization
Identification of “quick wins” in working capital improvement
Development of restructuring plans
Assistance with external stakeholder negotiations
A rich mix of in depth functional and industry expertise that can be brought together to support management in their development of initiatives

.Financial restructuring:

Analysis of strategic options
Review of cash flow forecast
Implementation of cash conservation guidelines and controls
Development / review of cost reduction initiatives
Inter-creditor negotiation
Balance-sheet restructuring, leaner corporate structure
Review and assessment of assets and liabilities
Maximization of value through sale of shares or assets
Identification of alternative funding