Ernst &Young >Services>Transactions - Corporate Development Function - Ernst & Young - New Zealand

It is hard to imagine a more challenging environment for corporate development. The turbulence in the financial markets has made access to capital extremely difficult, with the terms on which capital is available becoming onerous. This volatility of financial markets makes it all but impossible to make sensible forecasts and many companies are very much focusing on survival rather than growth.  However there are still market growth opportunities for those prepared to seize the moment; any company with access to capital will be in a strong position to make value-enhancing acquisitions.

In this rapidly changing market, the corporate development functions and corporate development officers (CDOs) are more crucial than ever.  CDOs are becoming effective strategic advisors to their boards, actively managing portfolios, divesting non-core assets on accelerated timelines and pursuing acquisitions to transform their market share.  CDOs will need to adapt their current practices and develop new ones.

We understand the importance of supporting corporate development officers and other leading executives in navigating through transaction strategy and execution. Our priority is to provide you with the insight, experience and knowledge you need in these challenging times to help you balance your short term needs with your long term aspirations.

10 CDO imperatives

1. Respond to signs of organisational stress
2. Actively assess your portfolio for strategic fit
3. Prepare your team to divest non-core assets
4. Manage transaction risk
5. Build strategic relationships with alternative capital providers
6. Evaluate new deal and financing structures
7. Create more transparency of information to satisfy buyers, investors and financiers
8. Pursue strategic acquisitions that can significantly enhance your market share and geographic footprint
9. Build a strong investment case and infrastructure to do deals quickly – both buy and sell side
10. Assess the impact of the regulatory environment