Beyond the surface: Strategic investigative due diligence

With a track record of over 1,000 due diligence assignments across twelve industries and five continents, our team has witnessed firsthand why mergers and acquisitions succeed—or fail. While financial data provides the framework, it is the undisclosed reality that determines the ultimate value of an asset.

Investigative vs. Operational Due Diligence

Traditional firms like Bain, BRG, or McKinsey typically conduct due diligence based on a target company’s self-disclosed information. However, self-disclosure often creates "grey areas"—information gaps that are not legally mandatory to reveal but can drastically alter the asset's value.

Our work begins where traditional diligence ends. We operate externally with enhanced confidentiality and discretion, utilizing Human Intelligence (HUMINT) to uncover what formal data cannot show.

Investigative Due Diligence in Action

• Identifying Anti-Trust Risks (Private Equity)

Before acquiring a hotel booking platform, a PE firm engaged us for a final check. Our investigation into the company’s algorithms—conducted through industry experts and competitors—revealed a hidden bias. The platform was designed to favor specific operators, creating an undisclosed anti-trust and competition breach that would have posed a massive legal liability post-acquisition.

• Mapping Influence (Hedge Fund)

A hedge fund considering a 1.99% stake in a major European corporation needed to understand the internal power dynamics of the board. We mapped the hidden connections between directors and major shareholders, providing the client with a clear picture of the support—or resistance—they would face.

• Behavioral & Character Assessment (Private equity industry)

During a merger between two investment firms, a prestigious law firm tasked us with analyzing a lead executive's character. Our intelligence revealed a narcissistic leadership style and a significant conflict of interest with a counterpart at the merging firm, identifying a high risk for future negotiations and cultural integration.

• Verifying Corruption Allegations (Construction)

A PE firm considering a mid-sized construction company was concerned by media reports of executive corruption. We conducted discreet interviews to determine the veracity of these claims. Our findings allowed the client to assess the real likelihood of future criminal investigations and convictions before committing capital.

• Uncovering Family Disputes (Logistics)

A Saudi investor targeting a shipping logistics company required a deep dive into the executive team’s reputation. Our work uncovered internal family disputes and litigation risks that had been omitted from official disclosures. This allowed the investor to implement vital protection clauses in the final contract.

Targeted Intelligence: Q&A and Specialized Inquiries

Not every engagement requires a full-scale audit. We often provide rapid, high-impact answers to specific questions:

• Performance Verification: For a retail company, we moved beyond "red flag" screening to verify a new hire's actual leadership performance and past results.

• Behavioral Risk: We assisted a financial merger by investigating an executive known for "blocking" initiatives, providing a roadmap for managing his difficult character during negotiations.

• Hidden Liabilities: For a $100M loan, we identified a European individual’s hidden proxies and collaterals that were not visible in standard compliance checks.

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Our Competitive Advantage

Why clients choose our firm over traditional consultants:

• Global HUMINT Network: A vast network of human sources capable of gathering intelligence in complex environments.

• Industry Insiders: Access to experts who provide "niche" information known only within specific sectors.

• Agility: Rapid engagement and proposal timelines without the bureaucracy of larger firms, but keeping the highest compliance standards.

• Independence: Fewer conflicts of interest compared to major global consultancies.

• Global Reach, Fair Value: Worldwide capabilities delivered with a transparent and competitive fee structure.