Role of Equity Investment Firms in Acquisitions and Mergers
Many businesses thrive on acquiring smaller business or merging one’s corporate house with that of another entrepreneur. In case of acquisition a corporate purchases the entire business house. On acquiring the new owner of the company can change the logo, hierarchy, employees, productivity and every other thing of the original company. In other words the smaller company will be completely absorbed into the business structure of the acquiring firm. In case of a merger the business set up is a different. Herein two companies of similar productivity levels combine together to form a single business organization. The merging firms combine their business activities and become a distinguishable and distinctive brand.According to Robert Joubran one of the primary objective of an equity investment firm is to identify suitable organizations that can sustain a merger or an acquisition. As the Chief Operation Officer (COO) of Platinum Equity, Joubran has personally overseen many mergers and acquisitions. Joubran believes that and equity investment firms of the stature of Platinum Equity provide a range of services to ease the process.
Some of the services that investment firms provide in case of acquisitions and mergers are as follows:
- The company will first identify suitable organizations that are prepared to enter into a merger. This will ensure that the vested interest of both parties involved in the merger are taken care of.
- According to Joubran any kind of equity investment requires the drawing up of a proper contract. The equity manager that one hires must provide all details to ensure that the investment is done as per the existing market norms.
- Companies like Platinum Equity often invest in acquisitions and mergers. Herein the company’s capital is at stake. Joubran being the COO oversees such investments. He has been known to give excellent advice and skilfully resolve issues that might arise during a merger or an acquisition.
- In spite of being a COO Joubran is an equity manager at heart! He uses his business intelligence and expertise to provide clients with excellent advice as to the suitable areas for capital investment.
- Joubran has helped in combining Health Care Products and Health Care Products into a single firm SourceOne Healthcare Technologies. Platinum Equity then sold SourceOne Healthcare Technologies to Merry X-Ray at a profit. This ensured complete satisfaction of the stakeholders.
Thus, as an equity manager the aim of Joubran is not just profit but identifying new areas of investment or reinvestment, to ensure greater profits. As a consultant Robert Joubran provides excellent advice regarding suitable areas of investment. After that capital has to be invested in such a manner that it produces high dividends.
In the investment world Joubran is known for his tenacity. Many a times he has been able to achieve an acquisition or convince a merger when other parties have failed. Joubran’s excellent advice and support provided to the merging firms have ensured successful completion of many business deals. Robert Joubran continues to be a corporate pillar especially in the field of capital and equity investment