Joint Venture (JV) Consulting

Joint ventures, like other types of transactions, are more likely to fail than to succeed. When joint ventures fail, they often destroy value for all shareholders and inflict reputational damage that can exceed the immediate financial impact. Fortunately, the reasons that joint ventures fail are predictable. To increase your odds of success, leverage our specialized expertise and flexible operating models. We can support your “in-house” deal team, manage the entire transaction from its earliest stages through post-closing implementation, conduct in-depth due diligence, or serve as your independent advisor. When it comes to joint ventures in the aerospace and defense (A&D), automotive, healthcare, natural resource, retail, and TMT industries, it is never too late to call us.

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Our Definition

  • What is a “joint venture”? A joint venture is an agreement between two or more parties to aggregate specific financial and non-financial resources, in an incorporated entity or through an unincorporated association, for the purpose of sharing the risks and benefits of pursuing a defined opportunity(ies).

Our Principles

  • Overcommunicate internally and externally

  • Act decisively and move rapidly — success/failure is determined in 12 to 24 months

  • Prioritize, prioritize, prioritize

  • Anticipate and mitigate risks

  • Incentivize risk-taking and reward performance

Our ProcesS for New JVs

  1. Define the strategy

  2. Identify and due diligence targets

  3. Develop transaction structure and business case

  4. Negotiate (pre-closing, closing, and post-closing terms)

  5. Create “blueprint” for success

  6. Obtain regulatory approvals, close, and implement

 
 

Getting Started

  • Is your company exploring a new joint venture opportunity? While every situation is unique, Strategic Value Partners (SVP) typically interviews 10-20 stakeholders over the course of a week, reviews corporate and business unit strategies, and deploys SVP’s proprietary assessment tool to determine whether the JV structure is appropriate. From here, next steps are tailored to each client’s needs.

  • Is your company contemplating the restructuring of an existing joint venture? While every situation is unique, Strategic Value Partners (SVP) typically interviews 10-20 stakeholders over the course of a week, reviews corporate and business unit strategies, assesses historical JV performance and future prospects, reviews legal agreements, and develops 3 to 5 scenarios. From here, next steps are tailored to each client’s needs.

  • Is your company, or one or more of its joint venture partners, contemplating an exit from a joint venture? While every situation is unique, Strategic Value Partners (SVP) typically interviews 10-20 stakeholders over the course of a week, reviews corporate and business unit strategies, assesses historical JV performance and future prospects, reviews legal agreements, and develops 3 to 5 scenarios. From here, next steps are tailored to each client’s needs.

  • Is your company seeking an independent expert to review its joint venture portfolio? While every situation is unique, Strategic Value Partners (SVP) typically submits a comprehensive data request on “Day 1” and interviews 20-30 stakeholders over the course of a week. JV portfolio reviews take 2 to 4 months to complete. From here, next steps are tailored to each client’s needs.

    Note: “Refreshes”, conducted within 12 to 18 months of the initial portfolio review, typically span 1 to 2 months.

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Joint Venture News

 
 

Joint Venture News Archive

(Coming Soon!)

 
 

Where we operate

Our extraordinary clients are headquartered or operate in cities such as Atlanta, Austin, Baltimore, Beijing, Boston, Charlotte, Chicago, Columbus, Dallas, Denver, Detroit, Dubai, Fort Worth, Hong Kong, Houston, London, Los Angeles, Mexico City, Miami, Minneapolis-St. Paul, New York, Omaha, Paris, Philadelphia, Phoenix, Pittsburgh, Portland, Riyadh, San Antonio, San Francisco, San Jose, São Paulo, Seattle, Seoul, Shanghai, Stamford, Toronto, and Tokyo. Our work frequently takes us to remote locations as well.