Technical Due Diligence. Transaction Terminated
FTSE 100 corporate looking to acquire an AI platform to strengthen its
position in B2B information services proposition. Discovered critical
technical red flags in significant AI capability and scalability gaps, and 3rd
party IP use rights.
About to invest in AI? What do you need to look out for?
We delivered a comprehensive due diligence and identified critical risks related to technical capability and intellectual property rights, which allowed our client to assess the value of required remediation and align with investment objectives.
Risk exposures concerning the commercial use of intellectual property was highlighted and provided clear recommendations to mitigate potential compliance and operational impacts.
Proven Impact
- Marketing looked good on the surface and transaction look good on paper. But, below the surface was no substance!
- £50 million valuation transaction terminated due to technical red flags.
- Buy side informed for future AI acquisition considerations.