LEGAL & DUE DILIGENCE

Arthur & Matthew provides

the banks and private equities

with legal & due diligence services

INDUSTRIES: Mining & Metals | Explosives

Mining & Metals and Explosives industries are highly technical-content industries. When it comes to enter a M&A process, due diligence becomes critical for assessing the stability and validity of the acquired company’s technology capabilities. There, specialization and technical insight turn to be key assets for the success of the potential transaction and also to create the framework by which to develop transition plans.

Key objectives in conducting a pertinent technology due diligence include:

1. A clear insight of the following key technology aspects of the company:
* Capability
* Stability
* Expandability
* Costs to operate and support
* Support methods and stability
* Company dependency on the technology
* Licensing and ownership of all technologies
* Risks
* Planned initiatives

2. A clear assessment of the following aspects of the technology organization and staff:
* Management team capabilities
* Staff capabilities
* Strengths and weaknesses
* Depth
* Key players
* Individual "flight risks"

3. A thorough review of vendor agreements

4. The analysis of financial cost trends and plans

5. A realistic evaluation of capital investments needed

6. Business continuity issues review

7. Leverage opportunities search and examination

Considering the specificity of the Mining & Metals and Explosives industries, we experienced as being particularly critical:

 1. A comprehensive understanding of the market which includes:
* Market growth and drivers
* Key companies
* Operating margins
* Pricing trends
* Role of services
* Market fragmentation

2. A specialized legal background including:
* Regulation / standard / safety
* Contracts and securities
* Intellectual property (patents, industrial design rights and trade secrets, copyrights, trademarks)

3. Proven audit and prospective analysis capabilities

4. Reputation and respect amongst the industry

Thanks to that unique combination of expertise and experience, we regularly serve as an advisor for the banking sector and for private equity firms.

  
08/10 - 10/10. LEGAL & DUE DILIGENCE: Drafting technical clauses for Turnkey / EPC projects or Operation and Maintenance contracts on behalf of a European mining group. Chemicals sourcing, on-site bulk explosives manufacturing and implementation contract for a major Uranium operation in WEST AFRICA.