Financial Due Diligence

Financial-due-diligence-Nigeria

 

 

Financial Due Diligence – helping investors make the right decision

In mergers and acquisitions, buyers and sellers must identify the risks and the opportunities associated with the business under consideration. Conducting effective financial due diligence can help buyers structure strategic transactions and avoid costly mistakes. It can also help sellers better understand the strengths and weaknesses of their position pursuant to a deal.

At PML Advisory, we conduct detailed due diligence for our clients in relation to merger and acquisition arrangement.

In order to help our Clients develop a complete picture of the financial realities of the target company, we carry out the following actions

  • Assess the quality of the targets earnings, analysing accounting policies and judgements
  • Review of contingent assets and liabilities
  • Evaluate management capabilities and forecasts
  • Identify key business drivers
  • Focus on profitability trends
  • Assess areas of risk concentration
  • Evaluateworking capital trends
  • Evaluate loan covenant compliance
  • Assess personnel trends and requirements

At PML Advisory we understand that no two companies or transactions are the same. Therefore, carrying out financial due diligence, we customize our approach to meet our clients’ specific needs. Our professionals have the requisite skill and experience to deliver your key expectation.

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Financial Due Diligence

Two key regulators and a governance code now require Nigerian Boards to formally demonstrate that their performance is periodically evaluated. PML Professional Services delivers independent, evidence-based Board Evaluations that meet regulatory expectations and are fully prepared for statutory reporting and regulatory submission. NCCG NIGERIAN CODE OF CORPORATE GOVERNANCE Sector covered: All public companies, public-interest private companies and regulated private entities. Requirement: Annual internal board evaluation plus an independent external evaluation at least once every 3 years, with outcomes disclosed as part of the Annual Corporate Governance Report. CBN CENTRAL BANK OF NIGERIA Sector covered: Banks and other CBN-licensed financial institutions. Requirement: Annual evaluation of the board, its committees and individual directors by an independent external consultant. Submission: External consultants must submit the Annual Board Evaluation Report to the Director, FPRD, CBN by May 31 (following the financial year-end) or before the Annual General Meeting, whichever comes first. FRCN FINANCIAL REPORTING COUNCIL OF NIGERIA – CORPORATE GOVERNANCE Sector covered: Every entity subject to the NCCG, across all industries. Requirement: Annual assessment of compliance with the NCCG. Submission: Eligible entities must submit their Corporate Governance Compliance Report through FRCN's reporting portal within three months after the financial year-end. HOW PML DELIVERS YOUR EVALUATION •  Independent Board, committee & Director appraisal •  Skills matrix & Board composition review •  NCCG, CBN & FRCN compliance reporting •  Practical, board-ready improvement roadmap Book your board's evaluation before your next AGM

For More Enquiries, Please Contact: Adeola Adesanya Partner, PML Professional Services aadesanya@pml.com.ng · +234 803 849 9321

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