Commercial due diligence for a K-12 supplementary education company

Context

• Company Description: A large global private equity firm 
• Opportunity: The client was interested in acquiring a K-12 supplementary education aids B2C company. It was a due diligence case to profile the business, understand and estimate the market, benchmark the product against the competition, project revenue and EBITDA Margins for the next 5 years

Our approach

• Conducted more than 40 one-to-one parent and student interviews (cold) and more than 5 competition and expert interviews
• Conducted two extensive surveys: Parent (N > 1,000) and Student (N > 400) to understand the customer experience and perception about the company
• Conducted deep product benchmarking exercise with 5 competitors by minutely reviewing content, technology, and effectiveness of the lessons provided by each player
• Conducted market sizing exercise to understand market attractiveness and potential
• Estimated 5-year revenue & EBITDA growth for different product segments

Praxis value delivered

• Successfully provided client with deep, comprehensive company profile study, differentiation from competitors, study of market attractiveness and view of customer, estimates of revenue & EBITDA growth, and value creation blue print