Let’s Talk About Target Identification
Need help identifying potential targets, evaluating opportunities, or prioritizing strategic options? Let us know, and one of our advisors will be in touch promptly.
Target Identification
At CYG Partners, our Target Identification process is the foundation of successful Buy-Side Advisory.
It follows a systematic, iterative approach to ensure that each potential target aligns with your strategic goals. Below is an overview of the process in a circular flow format.
Define Acquisition Goals
Inputs
Client's strategic objectives: growth, diversification, or market entry
Key criteria: industry, geography, company size, financial performance, cultural fit
Actions
Clarify the client’s long-term vision and deal objectives
Develop a tailored acquisition framework to guide the search
Output
A clear roadmap defining what an ideal acquisition target looks like
Market Research & Industry Analysis
Actions
Conduct detailed market analysis using proprietary databases and industry reports
Explore competitive landscapes, industry trends, and growth opportunities
Identify sectors or niches with strong potential for success
Output
A broad understanding of viable markets and target landscapes
Develop Longlist of Targets
Actions
Identify companies meeting the defined acquisition framework
Perform initial screenings to ensure alignment with strategic and financial goals
Output
A longlist of potential targets with basic profiles, including financials and market positioning
Refine to Shortlist
Actions
Conduct deeper analysis of the longlisted companies
Prioritize companies based on strategic fit, synergy potential, and likelihood of successful acquisition
Output
A focused shortlist of top acquisition candidates for further engagement
Outreach & Engagement
Actions
Initiate confidential outreach to shortlisted companies to assess willingness to explore a deal
Build rapport and engage in initial conversations to gather more detailed information
Output
Preliminary dialogue and data exchange with interested targets
Preliminary Assessment & Feedback Loop
Actions
Evaluate financials, operations, and strategic objectives shared during early discussions
Revisit earlier steps (e.g., refining criteria or revisiting the longlist) if targets don’t align
Output
A finalized list of viable targets ready for in-depth due diligence
Scroll to Begin
Target Identification
Define Acquisition Goals
Client’s strategic objectives: growth
Client’s strategic objectives: diversification,
Client’s strategic objectives: market entry
Key criteria: industry, geography, company size
Key criteria: financial performance, cultural fit
Clarify the client’s long-term vision and deal objectives
Develop a tailored acquisition framework to guide the search
A clear roadmap defining what an ideal acquisition target looks like Target Identification
Market Research & Industry Analysis
Conduct detailed market analysis using proprietary databases and industry reports
Explore competitive landscapes, industry trends, and growth opportunities
Identify sectors or niches with strong potential for success
A broad understanding of viable markets and target landscapes Target Identification
Develop Longlist of Targets
Identify companies meeting the defined acquisition framework
Perform initial screenings to ensure alignment with strategic and financial goals
A longlist of potential targets with basic profiles, including financials and market positioning Target Identification
Refine to Shortlist
Conduct deeper analysis of the longlisted companies
Prioritize companies based on strategic fit, synergy potential, and likelihood of successful acquisition
A focused shortlist of top acquisition candidates for further engagement Target Identification
Outreach & Engagement
Initiate confidential outreach to shortlisted companies to assess willingness to explore a deal
Build rapport and engage in initial conversations to gather more detailed information
Preliminary dialogue and data exchange with interested targets Target Identification
Preliminary Assessment & Feedback Loop
Evaluate financials, operations, and strategic objectives shared during early discussions
Revisit earlier steps (e.g., refining criteria or revisiting the longlist) if targets don’t align
A finalized list of viable targets ready for in-depth due diligence