Spring Associates

• Due diligence

 With our deep insights in global energy markets, our technical knowledge and our understanding of relevant regulatory environments, we have supported many investors, funds and banks:

• Due diligence of an LED supplier for an investment company

Issue

The client, a Dutch private investor, required commercial due diligence on a Dutch LED-lighting distributor/manufacturer.

Approach / Recommendations / Actions

Within two weeks, Spring Associates made a high level scan of the Dutch and European markets for retrofit LED lighting. Furthermore, the Spring Associates team assessed the LED technology used by the LED manufacturer, and interviewed the management team. In cooperation with a Chinese law firm the team reviewed the legal ownership structure of a Chinese manufacturing plant.

Results

Spring Associates created a due diligence report for the investor and helped the investor with the investment decision.

 

• Due diligence of a Chinese public lighting company for a Hong Kong investor

Issue

The client, a UK based corporate finance firm, required a commercial due diligence of a Hong Kong based street lighting company

Approach / Recommendations / Actions

Spring Associates studied the Chinese street lighting market for two months, including market sizing and an overview of the available and most frequently used technologies. We also looked at the new, more sustainable lighting technologies, such as LED lighting and Induction lighting systems. The Spring Associates team gave an overview of the current regulations on street lighting tenders in China, and in cooperation with a Hong Kong based law firm reviewed joint- venture agreements between the Hong Kong company and Chinese contractors.

Results

Spring Associates created a due diligence report for the investor and helped the investor with the investment decision.

 

• Due Diligence of a solar project developer in Italy

Issue

A group of Dutch private investors required due diligence on an Italian Solar project developer for large scale solar parks

Approach / Recommendations / Actions

Solar is a technology that is still being developed, and the market is still immature and regulated. Spring Associates first made an in- depth analysis of the current Italian solar market and its regulatory regime, and made a comparison with more developed solar markets in Europe. This way the value of the company’s project portfolio could be determined, thus establishing value for the company.  After a due diligence on location, verifying the quality of the projects and the development team, and legal due diligence in close cooperation with an Italian legal firm, Spring Associates supported the negotiation process to the winning bid

Results

Spring Associates created a due diligence report for the investor, and was actively involved in supporting the investor to make a successful bid.

 

•  Ongoing M&A strategy support for a leading European utility on the Dutch market

Issue

 The client, a leading European utility, wanted to expand its presence on the NW-European market. Spring Associates was asked to assist the company’s market development through strategic pre-M&A advice and management and support of the political landscape regarding a contentious unbundling bill that provided a growth opportunity for the company’s expansion strategy.

Approach / Recommendations / Actions

The Spring Associates team managed relations with the most important actors – market players, politicians, decision makers, journalists, government authorities and regulators – and this way ensured the company’s access to key decision makers. Spring Associates also provided valuable strategic advice on market development, and co-created the market development plan for the new strategy. Other activities included influencing the legislative process regarding a bill, identifying industry opportunities, and providing deal support and general assistance in the development of their north-west European strategy, and strategic assistance with the sale of its Dutch subsidiary.

Results

Thanks to the support of Spring Associates, a legislative bill was coordinated through the Dutch legislative chambers, opening up a significant growth opportunity for the company.

• M&A strategy support for a US Waste to Energy player in the Dutch market