Privatization/Commercialization and Regulatory Reform
One of the basic business strategies resulting out of a restructuring study, especially for public corporations, is privatization or commercialization. Even for a private company, the results of a restructuring study would perhaps be to float the company in the stock market, and/or sell part of the shareholding to a strategic investor. We undertake diagnostic evaluation of the various privatization strategies, which may vary from a management contract, lease, concession, sale of assets, sale of shares or a combination of two or more options. We are therefore involved in preparation of business plans taking up various options and advising our clients on the best option. In addition we undertake business valuation of the corporation and advise our clients in evaluating the price bids.
Depending on the corporation and the method of privatization or commercialization that may be recommended, we advise on necessary regulatory reforms which must be put in place so as to achieve level playing field without exploiting the consumer and at the same time providing optimal returns to the private operator.
Our experience in this area has been the privatization and share allotment for KTDA factory companies. |