STRATEGIC AND INSTITUTIONAL DIAGNOSIS
Ensuring the predictability of the operation
Understanding the strategic importance of an asset, technology, or company is crucial for anyone looking to anticipate the level of scrutiny that public authorities may apply to a proposed transaction. This insight is especially relevant in sectors where regulatory and national security concerns play a significant role.
A strategic diagnosis provides a comprehensive sectoral analysis that goes beyond regulatory and financial factors. It considers technological, geopolitical, and market aspects to evaluate the full strategic significance of the asset, technology, or target company. This broader perspective helps identify potential sensitivities and risks that could impact the transaction’s approval process.
The strategic diagnosis is a critical element of the due diligence phase, allowing companies to foresee the level of concern public authorities might have about the business sector in question. In the context of foreign investment control, the assessment is particularly valuable for determining whether the sector is eligible for investment before initiating formal discussions with regulators.
By leveraging a wide network of industry and policy experts, Relians offers specialized expertise to accurately evaluate the strategic implications of the transaction. This approach is especially important in mergers and acquisitions, where understanding the strategic context is key to navigating regulatory landscapes and securing the necessary approvals from public authorities.
Mastering the institutional hazard
Understanding the stance of public authorities is essential in any transaction involving, or potentially involving, the State. Large-scale investment projects, particularly those with an international scope, require a thorough institutional analysis to anticipate potential responses from various government entities and assess the feasibility of the operation.
An institutional diagnosis involves analyzing how public authorities may react to the proposed transaction. It considers the viewpoints of government agencies, regulatory bodies, legislative assemblies, and even foreign institutions. This process helps identify the extent to which the operation might be accepted or met with resistance, as well as key regulatory or political obstacles.
By providing stakeholders with vital strategic information, the institutional assessment enables better structuring of the transaction and tailored lobbying efforts. It also fosters constructive dialogue with institutional authorities.
In the context of foreign investment controls, this assessment is a critical tool. It helps anticipate the expectations and requirements of public authorities and adapt investor proposals to increase the likelihood of securing the necessary pre-approvals. This ensures stronger preparation for regulatory demands and more effective management of related political risks.
Strategic assessment
The strategic diagnosis is a critical decision-making tool for navigating operations in highly regulated or sensitive sectors. It offers a comprehensive analysis aimed at evaluating both the feasibility and the strategic implications of a proposed transaction or project from the standpoint of public authorities.
This assessment is built on an extensive review of information and data provided by stakeholders, considering key factors such as economic, regulatory, geopolitical, and market conditions. By simulating the analysis that government bodies would typically conduct, the strategic assessment provides a proactive view of how the operation may be perceived by public authorities.
The primary objective is to give involved parties a detailed understanding of institutional sensitivities, including potential concerns or objections that might arise during official reviews. By conducting this analysis privately, companies can anticipate the response of government regulators and adapt their strategies accordingly.
A well-executed strategic assessment enables companies to optimize the structure of their transaction and refine their lobbying efforts, presenting stronger arguments tailored to the priorities of institutional stakeholders. This proactive approach helps mitigate regulatory risks and aligns business objectives with public policy considerations.
Ultimately, it serves as a crucial asset for companies aiming to secure government approvals and successfully navigate complex regulatory landscapes, particularly in sectors where state involvement is prevalent.
