Avalia Systems recently worked with a client that was looking to acquire companies across various sectors, with a focus on technology businesses. The client’s team had strong financial backgrounds but lacked the technical expertise needed to properly evaluate the technology side of potential acquisitions.
Our role at Avalia was to step in as an in-house CTO, helping the client assess whether the technology of a target company was sound and aligned with future growth trends. After the client’s team analyzed a company's financial health—ensuring it generated cash, had a solid revenue base, and wasn’t overly dependent on just a few clients—our job was to evaluate the technology.
We approached this in two ways:
Sharing Industry Knowledge: We offered insights on the tech landscape and trends to assess each company’s growth potential.
Using OSINT for In-Depth Insights: We employed Open Source Intelligence (OSINT) techniques to gather publicly available data about the target company. This included reviews on platforms like Glassdoor, product feedback on app stores, and even technical documentation available online. These insights gave us a clearer picture of the company’s technical capabilities and culture, helping us assess potential risks and opportunities.
Through our analysis, we identified both strengths and areas for improvement. This allowed the client to make informed decisions—whether to move forward with the acquisition, negotiate a better price, or set specific milestones for the target company to meet after the deal.
Our work didn’t end with one company. Over time, the client called upon Avalia on a project-by-project basis to help with similar evaluations, always on a quick turnaround to ensure decisions could be made in just one or two weeks.
For early-stage evaluations, this type of on-demand, rapid partnership is the best fit for the client, allowing them to efficiently assess multiple targets. It offers a cost-effective and time-saving approach, ensuring they can quickly focus on the most promising opportunities without expending unnecessary resources on full due diligence for every potential deal.