Strategic Exit: Successful Sale of EPC Stake in Renewable Energy Sector.

A Private Investor invested in an Independent Power Producer (IPP) aiming to capitalise on the growing renewable energy sector. The IPP included ownership stakes in EPC firms. Challenges arose when the Private Investor had to take a more active operational role due to issues with the IPP's founding team. Seric was brought in to assist with restructuring, which led to the decision to sell Company A, one of the EPC firms.

The sale of Company A presented several challenges, including inconsistent due diligence, misaligned expectations between the IPP's founders and the Private Investor, a history of failed deals involving Company A, a limited pool of suitable buyers, and differing valuation expectations. Seric addressed these challenges by initiating an independent valuation, conducting a sell-side due diligence to improve transparency, and facilitating strategic alignment between the parties. Ultimately, the sale was successful, resulting in a return on capital above the equity hurdle and enhanced reputations for the Investor and Company A.