$7MM Healthcare Clinic Acquisition

Underwriting, diligence and transaction execution from LOI through board approval and close

A nonprofit healthcare organization pursuing a roll-up strategy had a clinic acquisition under LOI but lacked the internal M&A resources required to fully evaluate and execute the transaction.

7Alder supported the process across underwriting, diligence, valuation, transaction structuring, and board communication, helping the organization secure approval and close the approximately $7 million acquisition.

• ClientConfidential Healthcare Organization
• Client TypeNonprofit Healthcare Organization
• TransactionHealthcare clinic acquisition
• Enterprise Value~$7MM
• WorkstreamsUnderwriting, diligence, valuation, transaction structuring and board materials
• ResultBoard approval and successful transaction close

The Client and Situation

A nonprofit healthcare organization was pursuing a roll-up strategy involving both nonprofit and for-profit healthcare clinics.

The organization had identified a target and entered into an LOI for a clinic with approximately $7 million of enterprise value.

Management understood the strategic opportunity but did not have a dedicated internal M&A team capable of fully underwriting the transaction, managing financial diligence, and developing the analysis required for organizational approval.

The Transaction Objective

The organization needed to determine whether the acquisition represented an attractive opportunity and, if so, how the transaction should be structured and presented for approval.

The analysis needed to address valuation, financial performance, diligence findings, transaction structure, and expected economics.

Ultimately, management and the board needed a clear basis for deciding whether to proceed.

The Constraint

The target’s financial information was difficult to analyze, and the acquiring organization did not have sufficient internal M&A capacity to absorb the work.

The transaction was already under LOI, creating pressure to move quickly.

7Alder also needed to translate sophisticated transaction analysis into materials that could be understood by management and board members with different levels of financial and M&A experience.

The Work Performed

7Alder supported the acquisition across the primary analytical and decision-making workstreams.

The work included:

• Organizing and analyzing target financial information
• Underwriting the acquisition opportunity
• Conducting financial diligence
• Developing valuation analysis
• Building operating and pro forma models
• Evaluating transaction-structure alternatives
• Supporting LOI and deal-structure discussions
• Preparing management and board materials
• Developing decision memos and supporting analysis
• Presenting the transaction case to the organization’s board

The work connected the underlying financial analysis directly to the acquisition decision.

Representative Deliverables

The Result

7Alder gave management and the board a structured financial and strategic framework for evaluating the acquisition.

After reviewing the transaction analysis, the board approved the deal and the organization successfully closed the approximately $7 million clinic acquisition.

The engagement extended the client’s internal team across the transaction lifecycle, from an opportunity already under LOI through underwriting, diligence, board approval, and close.

Move From Opportunity to Close With Greater Control

7Alder provides transaction teams with the modeling, diligence, decision materials, and execution capacity required to evaluate and advance consequential M&A opportunities.

Bring us the transaction, decision, or workstream that needs momentum.