Management of the carve-out and negotiation of the TSA (France / China)
A large outfitter undertook to divest from several non-core divisions. A private equity fund takes interest in one of them and appointed Alba & Co to assist.
Handle all issues related to the carve-out (operational, financial, HR and IT systems, etc.). After the signing date, earmark all functions and operations within the carved-out perimeter which required continued services from the Seller, to be reflected in a Transitional Services Agreement (TSA).
Alba & Co acted as an ad hoc multidisciplinary strategic project office, which delivered the appropriate skillset at each step of the process. A methodology was developed to pinpoint areas that could not function on a stand-alone basis, which allowed a quick delimitation of the areas to be addressed in a TSA. We facilitated the subsequent negotiations and designed a plan for the division to transition towards self-sufficiency on its core vital functions.
Alba & Co cleared the path on all technical issues related to the carve-out, notably IT, HR policies, cash management, tax strategy, which were critical for the setup of a healthy stand-alone organization. Our team was additionally in charge of coordinating, negotiating and implementing the TSA, as well as the redesign of vital business processes. 5 years down the road, the carved-out entity was successfully sold.