Third party due diligence services

Before you invest in an asset, you need to take necessary precautions to make an informed decision. Due diligence is a process, by which experts from a reliable third party such as TÜV SÜD evaluate the current state of a target company’s assets prior to a M&A transaction or an investment decision.

Due diligence research is especially beneficial in the areas of mergers and acquisitions, initial public offerings (IPOs), re-organisation and re-structuring, management buy-outs (MBOs), insolvencies as well as sale and leaseback transactions.

Due diligence reviews reduce the level of risk inherent in investments, planning and future use of real estate and industrial assets. Beyond enhancing your legal certainty and liability protection, carrying out due diligence is essential for achieving your business objectives and financial targets.

Engaging a third party such as TÜV SÜD to conduct due diligence on your behalf ensures that you will base your decisions on comprehensive, impartial, and trustworthy results.

We provide integrated due diligence services that combine technical, environmental, sustainability and commercial due diligence.

Technical due diligence (TDD)

Our experts analyse building structures, materials and technical systems to identify structural, technical, environmental and financial risks and opportunities for investments. In addition, we determine the value and future viability of technical installations and equipment and review the efficiency and competitiveness of technology and production processes.

Besides well-established technologies and processes we evaluate also new innovative approaches and engineering solutions via the assessment of the Technology Readiness Level (TRL).

We use a holistic approach to check the plausibility of capital expenditure and operational expenditure assumptions and identify possible needs for future investments and the development of operational costs. This provides a technical perspective for evaluating whether the business and financial targets of a transaction are realistic.

We estimate the fair value and/or liquidation value of assets regarding their technical condition, their performance and the technically justifiable remaining service life.

Environmental due diligence (EDD)

With our expertise in local and international environmental legislation, we perform integrated analysis of existing contaminations in soil or building materials, indoor pollutants, waste management and other environmental factors. We narrow down environmentally sensitive areas and estimate the potential financial risk.

Sustainability due diligence (SDD)

Our experts look at the current state and potential risks of your assets to evaluate long-term sustainability value. SDD serves as an initial assessment in line with the guidelines in common sustainability rating systems (BREEAM, LEED). We investigate a building’s potential sustainability score, advise on the most suitable system, and recommend ways to improve its rating.

We also provide taxonomy alignment check for your activities.