Although this is a vendor-side due diligence exercise, the work involved is substantial. The process requires the organisation, review and upload to the virtual data room of a significant volume of contractual documentation, together with a detailed analysis of the company’s real estate portfolio and the regulatory framework applicable to its business.
In this specific case, particular attention is also being paid to environmental, health and safety matters, due to an ongoing soil remediation procedure. This adds a further layer of complexity and calls for a careful assessment of both current obligations and potential areas of risk.
Vendor due diligence is often much more than a preparatory step in an investment process. It is an opportunity to map the a company’s history and achievements!
