maconda supports clients with acquisitions in receivables management and market research in the agricultural sector
maconda News November 2012
As one of the most active providers of Commercial Transaction Services in Germany, we once again look back on several exciting engagements in the growing Business Process Outsourcing market. The outsourcing of business processes—Business Process Outsourcing—is increasingly seen by companies as an important way to unlock rationalisation potential and conserve internal resources. This applies to Customer Care and Marketing Services as well as finance and accounting, logistics and IT. At present, Business Process Outsourcing is most widespread in industry (approx. 40% of market volume), followed by the banking sector (approx. 17%). In many sectors, the potential is far from being fully realised; these include, for example, insurance and the public sector. maconda’s extensive experience has once again been utilised by various clients in recent months, both for strategy projects and for transactions.
maconda supported Avedon Capital Partners in the acquisition of the Tesch Group, including its subsidiaries Tesch Inkasso GmbH and Tesch Service GmbH. The Tesch Group, headquartered in Wiehl near Cologne, is an established mid-sized provider of receivables management solutions with many years of experience. Its core business is the out-of-court and judicial collection of receivables, primarily from private debtors. Tesch is mainly active in the end markets of telecommunications, media, insurance and energy supply.
The maconda team supported Avedon with a Commercial Due Diligence. Within a short period of time, we assessed the sustainability of Tesch’s business model as well as the potential for market-driven growth. To this end, our consultants—experienced from a wide range of engagements in outsourcing businesses—conducted more than 50 structured interviews with experts and decision-makers in the German debt collection market. This helped, among other things, to better assess the regulatory environment and the possible implications of planned legislative initiatives.
Hannes Hinteregger, Partner at Avedon: “maconda proceeded with great commitment and a strong focus on results, and its in-depth analysis of the market and performance created a solid basis for our work. Particularly noteworthy was the high degree of flexibility with which the team acted with confidence, efficiency and considerable personal commitment, even when the scope of work changed at short notice. We would like to thank them for the successful and pleasant collaboration and will be happy to work with maconda again.”
The German receivables management market is still highly fragmented, with a large number of small providers. Demand will continue to grow, driven primarily by increasingly easy access to instalment loans and consumer over-indebtedness. Further momentum will come particularly from industries with comparatively poor customer payment behaviour, such as trades and service providers. In addition, demand is being fuelled by the still rapidly growing online business. Local authorities are also discovering professional, reputable debt collection as a way to reduce outstanding receivables.
maconda advises NORD Holding on the acquisition of the Kleffmann Group
Supporting NORD Holding in advance of the acquisition of a stake in the Kleffmann Group is another element in our list of outsourcing engagements. The Kleffmann Group, headquartered in Lüdinghausen, is a global leading provider of market research in the agricultural sector. The company, which continues to be managed by Burkhardt Kleffmann, has more than 350 employees in 17 subsidiaries in the most important agricultural markets. The Kleffmann Group offers its internationally positioned agribusiness clients—manufacturers of seed, crop protection products, agricultural machinery, etc.—specialised market research solutions in more than 65 countries worldwide, including ad hoc studies as well as comprehensive panels. As part of the Commercial Due Diligence, maconda analysed, among other things, Kleffmann’s positioning in the international competitive landscape and customer behaviour.
Eberhard v. Strenge, Project Manager at NORD Holding, on maconda’s work: “maconda was a valuable partner at our side during the acquisition of the Kleffmann Group. With its detailed analysis of the heterogeneous market and its different buyer structures, maconda demonstrated extensive analytical expertise and impressed us with its critical approach. In addition, the multinational consulting team conducted a large number of interviews, including in South America and Eastern Europe. This is what we consider a professional service.”