Portfolio Monitoring Solution for a US-based Global Private Equity Firm

The client, a strategic credit fund of a leading US-based global PE firm, approached Acuity Knowledge Partners to explore the possibility of offshore assistance in its portfolio monitoring process
The fund had recently acquired a couple of lending platforms from a leading asset management company, thereby increasing the number of portfolio companies significantly
The other challenge was in the processing and transitioning of data pertaining to the acquired portfolio companies, and using a proprietary monitoring tool – Black Mountain
The acquisitions resulted in a sudden surge in portfolio monitoring workflow for the onshore team

Acuity Knowledge Partners set up a three-member offshore team for the client
The Acuity Knowledge Partners team took end-to end ownership of the analysis process
Preparing and updating detailed financial models of portfolio companies
Analyzing capital structures and carrying out covenant testing
Uploading the excel templates on Black Mountain (Everest tool) and generating CMR reports for investor review
We leveraged their research capabilities and experience in working with the Black Mountain tool, thereby minimizing the time taken to transition the process
To further expedite the transition and reduce work in the pipeline, an additional three-member support team was also set up

The offshore team not only achieved a 100% accuracy rate, but was also able to match the onshore team’s turn around time
It standardized the processes and templates to deliver efficiency gains and effective work-flow management
The team’s cloud-based data management ensured the highest levels of data security, along with seamless work flow across the onshore-offshore teams
It created an integrated structure with maximum visibility for the onshore team
The team’s process resulted in the freeing up of over 85% of monitoring-related bandwidth for the onshore team

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