M&A Post-Close Synergy

Who: A global leader in healthcare for over 25 years and one of the nation’s largest distributors of wholesale medical supplies and equipment, offering 300K+ medical-surgical products and serving customers across 14 countries.

Business Problem: Forging new strategic ventures to expand their healthcare expertise, this distributor wanted to identify post-close synergies and opportunities to accelerate integration. Our client partnered with Precision to conduct a confidential, 3rd party overlap analysis to identify and validate transactional synergies and opportunities as well as generate fact-based insights from large volumes of unstructured data to increase speed and efficiency of integration

Precision Action: Leveraging our Merger & Acquisition data solution models, Precision was able to identify acquisition cost synergies across dozens of categories and thousands of SKUs by:

Reconciling differences in pricing, discounts, rebates, contracts, incentive programs, and other factors to arrive at net-net cost differences
Using customer overlap analysis to identify shared and non-shared customers and align on greatest growth opportunities
Quantifying product and vendor overlap to support critical cost negotiations with suppliers
Quantifying opportunities for inventory consolidation between warehouses, reducing working capital, increasing service rates and reducing stockouts