MERGERS & ACQUISITIONS

WE CREATE VALUE IN TRANSACTIONS, SUPPORTING BOTH THE SELL SIDE AND THE BUY SIDE

The Flunger & Company advises on M&A transactions on the sell side or buy side, depending on the client's mandate. We take on specific phases, critical transaction issues, or the full process — from first contact to closing.

On the sell side, we support the sale of a company, the divestiture of a business unit, or the admission of a new partner. We establish a reference valuation for the asset, prospect and qualify potential acquirers, and sustain the negotiation through to closing.

On the buy side, we structure acquisitions guided by strategic intent — whether to consolidate market position, acquire capabilities, secure access to channels or inputs, or expand operations. We formulate the acquisition thesis, identify and prioritize targets, examine each opportunity, and sustain the transaction negotiation.

This capability combines our experience as executives and managers — including business development for companies and investors — with our M&A project experience. In each mandate, we apply the appropriate competencies and tools, including simulation, optimization, and statistics, and we coordinate teams of lawyers, accountants, and other specialists involved.

M&A transaction negotiation meeting
Process Phases

Four phases. A structured path to closing.

Each phase is led by senior professionals with sector knowledge, proprietary methodologies, and analytical rigor.

Phase 1

Prospecting: we identify the right counterparty

Prospecting stems from deep market knowledge. We mobilize senior specialists from the sectors where we operate and maintain close relationships with industry associations that ensure mastery of the decisive factors in each segment.

Sell Side
  • Mapping the universe of potential acquirers domestically and internationally.
  • Qualification by strategic fit, geographic presence, size, and ownership structure.
  • Prioritization of candidates for whom the asset represents greatest value.
Buy Side
  • Formulating the acquisition thesis most aligned with the client's competencies.
  • Building market scenarios and identifying aligned targets.
  • Proprietary prioritization methodology integrating the client's decision criteria.

On both sides, we incorporate compliance assessment from the earliest stages of the process.

Qualifying counterparties with senior specialists
Phase 2

Due Diligence: we establish value and reveal the risks

Strategic due diligence rigorously analyzes the business conditions, validating the past and identifying potential value avenues for the future. Our approach goes beyond legal due diligence and financial and tax audit — without replacing them, as they are fundamental and support our work. Strategic due diligence seeks to validate the business premises and identify its sources of value, sustaining a negotiation process that creates value for our clients.

Proprietary Financial Model

Our financial models combine market condition simulations — using tools such as Monte Carlo simulation — with scenarios derived from our scenario planning approaches. Results are validated against market benchmarks and calibrated with the client to reflect business realities and expectations.

Sell Side

We coordinate legal, accounting, tax, and labor audits to anticipate negotiation challenges and address them proactively. From these analyses, we build valuation financial models and structure the negotiation, integrating legal support and value engineering, always aligned with the client's objectives.

Buy Side

We coordinate legal, accounting, tax, and labor audits to identify transaction risks. We assess the business premises and conditions, seeking value avenues beyond the obvious and verifying the strategic alignment of the business with the client's objectives and values — always supported by a scenario-based view.

Financial modeling and scenario analysis
Phase 3

Negotiation: we preserve the strategic premises through to closing

Negotiation requires authority at the table and coherence with the defined objectives. We allocate senior professionals who intervene directly in the process, lending weight to the client's position before the other party, and coordinate the accounting, legal, and technical teams needed to address each critical point.

Sell Side

We negotiate to preserve the value established in due diligence and secure the seller's exit conditions, without concessions that undermine the transaction's fundamentals.

Buy Side

We negotiate to safeguard the premises that justified the acquisition. We design the corporate governance structure that reconciles the parties' interests, sustaining the necessary flexibility without yielding on fundamentals.

Transaction negotiation table
Phase 4

Post-Merger Integration: we convert the plan into results

Integration converts the transaction plan into concrete actions and measurable results. We mobilize professionals who address the immediate challenges without sacrificing the business's long-term vision, applying PMI project management methodologies.

Plan Execution

We adjust execution to market changes without relinquishing the original objectives that justified the transaction.

Value Realization

A decisive phase on the buy side: the value projected at acquisition must materialize in operations and results.

Interim Management

In certain cases, we assume interim management positions to execute restructuring from inside the acquired business.

Post-merger integration plan execution

Selected Experiences

For a food company, we segregated the cold-chain logistics operation into an independent business unit for sale. We modeled the valuation and the corporate and tax structure of the new unit, generating more than 20% savings in the original operation's logistics costs and an additional revenue stream.

View Case

For an international investment vehicle in the sugarcane energy sector, we evaluated mills across Brazil using financial models integrating agricultural, industrial, and financial estimates, and ranked them in a target portfolio aligned with the investor's strategic criteria.

View Case

For an international private equity examining an ethanol mill in Colombia, we conducted due diligence on the project and operation, identified the risks that made it unviable as proposed, and defined the conditions for the investor's safe entry.

For a multinational investor in the acquisition of a technology company that had lost strategic fit with its business model, we recentered the original strategic premises in the negotiation and closed the transaction on time, with a balanced outcome for both parties.