Assess Acquisition Target’s Information Technology

Client

 One of the oldest private equity firms in the US with groups focusing on both leveraged buyout and venture capital investments. The firm manages approximately $2.3 billion since inception across 13 funds.

Project Goals

The firm wished to understand the information technology capabilities of a fast growing retailer in the sports and clothing market that was a potential acquisition target. Specifically the firm desired to know:

• The current state of information technology at the target company
• Areas that may require major investment in the near future
• The viability of the existing information technology organization, application portfolio, and infrastructure portfolio to support planned growth

Deliverables

The project delivered:

• A current state analysis of the information technology organization, application portfolio, and infrastructure portfolio
• An inventory of items that would need to be addressed to support planned growth with detailed descriptions of each item including estimated costs and time required to implement

Results

• Information technology costs associated with identified needs were included in the acquisition business case
• An immediate annual savings of $250,000 was identified and implemented by the acquisition target company