Commercial attractiveness and synergy assessment for a premium non-alcoholic RTD acquisition
Delivered a fact-based due diligence assessing growth levers, synergies, and risks, projected up to 5× net revenue and 12× EBIT uplift, while creating a reusable M&A evaluation framework
Project challenge and objective
A global beverage company sought to evaluate the commercial attractiveness of acquiring a premium player in the non-alcoholic ready-to-drink (NARTD) space and its synergy potential. The key business challenges were:
Strategic fit uncertainty: Understanding how the target’s current strategy and portfolio aligned with the acquirer’s growth objectives.
Market complexity: Assessing performance across multiple geographies with differing RTM models and consumption habits.
Growth opportunity identification: Uncovering revenue growth levers beyond the target’s existing roadmap.
Synergy estimation: Quantifying integration potential within the acquirer’s existing route-to-market (RTM) footprint and portfolio.
Objective: Provide a fact-based assessment of the acquisition's attractiveness, synergies, and potential risks, enabling the client to make a strategic go/no-go decision.
Strategic approach and methodology
A structured, three-phase approach was adopted to assess the acquisition opportunity and define the strategic roadmap:
1. Growth opportunity mapping
Identified, sized, and prioritized five growth levers:
Territorial expansion.
Pervasiveness growth (distribution and rotation in on- and off-premise).
Pricing & margin enhancement.
Occasion expansion (via packaging and format innovation).
Category entry (RTD alcohol and other adjacent NARTD).
2. RTM synergy and model design
Conducted in-depth analysis of RTM models in 10 countries generating >80% of future growth.
Designed a joint RTM strategy with key levers for integration and acceleration.
Assessed complementary strengths and white space alignment across both companies.
3. Risk assessment & business case sizing
Mapped risks including portfolio cannibalization and integration friction.
Estimated financial upside under two scenarios:
Realistic: 3× net revenue, 6× EBIT uplift.
Optimistic: 5× net revenue, 12× EBIT uplift.
Conducted high-level supply chain and production impact screening.
Project recommendations
Based on the project’s findings and strategic insight:
The client was equipped with a comprehensive growth blueprint, integrating both organic and M&A-fueled levers.
A synergistic RTM strategy was developed, outlining integration pathways, value capture areas, and required enablers.
Risk mitigation strategies were defined for potential overlaps in the portfolio and RTM execution.
The project triggered further investigation into supply chain and production implications.
Strategic value
While the M&A was ultimately not pursued due to broader operational considerations, the project generated strategic value:
Informed internal RTM upgrades and competitiveness enhancements.
Supported portfolio optimization efforts.
Provided a reusable framework for evaluating future M&A opportunities.
This initiative demonstrated how robust due diligence could deliver value beyond a single deal, fueling ongoing strategic refinement.
