Overview
Alriyadh Middle East Finance Banking division offers a wide range of financial advisory services such as equity and debt advisory, IPOs and private placements, mergers & acquisitions, and restructuring services. Our Investment Banking team has a strong track record of successful transactional executions and access to an institutional client base, including some of the leading private and public corporations in Saudi Arabia, as well as government entities and high-net-worth individuals. Our Investment Banking services cover the following areas:
- Corporate Valuation
- Cross-Listing Services
- Mergers & Acquisitions Advisory
- Corporate Restructuring
- Divestitures
- IPOs and Private Placements
- Debt Advisory & Arrangement / Shariah Compliant Financial
- Advisory & Arrangement
Corporate Valuation
We advise our clients on determining the economic value of a company, which can be used to determine the fair market value from a financial point of view.
Our corporate valuation services are typically conducted when our clients are looking to sell all or a portion of their companies or are looking to merge with or acquire another company. Our standards for estimating the worth of a business relies on using objective measures and evaluating all aspects of a company, whether quantitative or qualitative. This includes analysis of a company’s management, its historical financial performance, its capital structure, its future earnings’ prospects and the market value of its fixed assets. The main methodologies used in our corporate valuations include internationally recognized approaches such as:
- Discounted Cash Flow (DCF) Analysis
- Comparable Public Companies Trading Multiples’ Analysis
- Precedent M&A Transactions’ Multiples Analysis
- Net Assets Valuation (NAV)
Private Placements
Alriyadh Middle East Finance offers a comprehensive approach in raising public and private capital for both established and high-growth companies across a range of sectors in Saudi Arabia, where our corporate finance team monitors capital markets’ conditions on a regular basis and continually liaise with sophisticated investors such as private equity funds, family offices, sovereign wealth funds and investment houses, in order to provide our clients with optimal access to capital.
Our role as financial advisors and placement agents allow us to assist companies finance potential acquisitions or organic expansion based on their particular needs through private placements which offer an efficient, cost effective, flexible and confidential way to raise capital.
We work with a broad range of potential institutional investors in the Middle East on behalf of our clients, whereby we share with them the investment opportunities and strive to obtain the most favourable terms for our clients. Our private placements’ services to our corporate clients typically include the following:
- Performing Historical Financial Analysis
- Building Fully-Integrated Financial Models
- Performing Corporate Business Valuations
- Compiling Private Placement Memoranda (PPM)
- Contacting Institutional Potential Buyers (As Potential Bidders)
- Assisting in Negotiating Shareholders’ Agreements
- Assisting in Commercial Negotiations of Definitive Legal Contracts
- Closing Private Placement Transactions
Debt Advisory & Arrangement
Alriyadh Middle East Finance advises companies on structuring and arranging long-term and short-term debt and fixed-income financing instruments including syndicated loans, commercial paper (CP), conventional bonds and Sukuk. Our capabilities in this area are vast considering the significant balance sheet of our company
In this area, we also provide a full range of debt advisory and arrangement services to private and public companies, where we aim to assist them by working with all stakeholders to implement debt re-financings that balance a pragmatic sharing of value between stakeholders while minimizing corporate uncertainty.
We begin every debt advisory assignment by understanding our client’s short-term and long-term debt capital requirements, after which we devise comprehensive financing strategies, and assist them through the execution of a transaction. We maintain ongoing contact with all commercial banks, specialty lenders, mezzanine lenders, high-net-worth individuals and fixed income funds to remain updated on their lending and investment criteria. Our ability to recognize the appropriate capital sources allows us to optimally structure transactions that meet the needs of our clients. Our debt financing capabilities include the structuring, documentation, arrangement and negotiating of a wide range of senior debt, junior debt, Sukuk and mezzanine financings to meet our clients’ objectives.
As advisors, we help our clients raise (or refinance) debt capital through syndicated loans’ arrangements, corporate bond issuances or Sukuk. We are dedicated to servicing the strategic financial needs of our clients and we endeavour to provide a broad range of debt structuring using our extensive experience of the financial markets.
Merger Acquisitions Advisory
We advise companies and investors on mergers & acquisitions, divestitures, buyouts and joint ventures, whereby our M&A practice includes experienced professionals in the industry. Drawing on that experience, we are active across the full range of M&A advisory roles, including:
Sell-Side Advisory
Alriyadh Middle East Finance has a strong track record in sell-side advisory roles, whereby we have acted as financial advisor for target companies and their board of directors or selling shareholders. Our role is centered around being at the heart of any corporate sale process, where we assist our clients in negotiations and provide them with impartial and objective advice about the merits of bids received. Our efforts in this area ranges from building fully-integrated financial models for our clients, to providing pre-sale fair market valuations, compiling private placement memoranda and sourcing potential buyers. Our extensive network in Saudi Arabia and the Middle East includes access to family offices, private equity funds, investment companies, sovereign wealth funds and others.
Buy-Side Advisory
Alriyadh Middle East Finance can act as a buy-side financial advisor to public or private acquiring companies or individuals, where we advise buyers on attractive targets through our local and regional network of relationships and assist them in the entire process from contacting potential targets, signing confidentiality agreements and letters of intent, performing due diligence, to signing definitive sale & purchase agreements. We also advise our clients as to the timing, structure, financing and pricing of proposed acquisitions.
Mergers & Joint Ventures Advisory
Alriyadh Middle East Finance is well qualified to assist its corporate clients on merger transactions based on total discretion and a lack of conflicting interests. Our role in mergers’ transactions include compiling detailed merger financial models that include accretion and dilution analysis, synergies and cost savings analysis and advising on qualitative post-merger corporate matters such as board of directors’ composition, organizational structures, management, headquarters, branding and other.
Corporate Restructuring
Alriyadh Middle East Finance advises companies in situations of turnaround, distress or restructuring, whereby our professionals combine knowledge of restructuring strategies with M&A expertise, credit analysis skills, capital markets knowledge, industry expertise and negotiation experience in restructuring transactions with creditors and investors.
In this area, Alriyadh Middle East Finance offers independent advice on negotiating with creditors on behalf of its clients in cases of financial stress or distress, by we structure a wide variety of transactions, including refinancing of conventional debt, fixed-income securities or Sukuk, corporate recapitalizations and amending financial covenants. Our efforts in this field also extend to assisting our clients in selling any non-core assets or operations to third parties.
Divestitures
Alriyadh Middle East Finance advises public and private corporations (or individual investors) who are looking to divest majority or minority equity stakes in public or private companies. We also advise corporations that are looking to sell a business unit or to execute spin-offs, split-offs or carve-outs, so as to refocus their resources on their core operations. We offer seamless advisory and structuring services assist our clients in a smooth transition of ownership after closure of the deal.
Our divestiture services always begin by properly evaluating a divested entity and formulating a clear selling strategy that can maximize value for the selling shareholder(s), while taking into consideration their specific objectives and sensitivities, if any. The divestiture process includes the identification and qualification of prospective buyers both locally and regionally and structuring appropriate financial instruments that maximize the chances of success.