Finding the truth about information provided in the course of a company buy out
As he was finalising the purchase of a building and public works company, our client asked for a routine due diligence. Research quickly found reasons for concern about the company’s financial health. According to rumour, the company moved some expensive building equipment around before taking stock of the inventory, thus inflating the company’s assets.
Aerial photography of building sites and outdoor storage areas proved this the case. The buyer decided to carry on with the purchase but on a different basis.
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