Context

To continue to grow its presence within its regional markets, Baton Rouge Cargo sought to evaluate an acquisition prospect. They were interested in better understanding the synergies that could be realized with consolidated operating scenarios.

Velo performed a 3-year lookback analysis on the acquiree’s financials statements, evaluating agreement to filed tax returns and reviewing contracts, warrants, liabilities, and other material financial events (including off the balance sheet liabilities) to understand the integrity of the acquiree’s historical records. Velo developed an understanding of the applications, warehouses, and operating structure of the acquiree to understand what would be retained in a consolidated operating structure. Velo also engaged in a series of interviews to understand the resources of the acquiree in terms of personnel and assets. The results of these efforts culminated in a Justification of Purchase Price report that quantified consolidated operating conditions and forecasted benefits.

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  3 year look-back analysis

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  Forecasted benefits