Balancing the potential for real-world impact with commercial viability can be challenging. As Ash explains in this video, understanding this is critical when evaluating deep-tech environmental opportunities.
The Two-Pronged Approach:
Our approach typically considers twokey factors:
- Technology and Impact Potential: Assessing whether the innovation is truly groundbreaking and capable of making a significant environmental difference.
- Commercial Viability: Determining if the technology can be translated into a economically sustainable business model.
This balanced approach ensures that we support technologies that are not only environmentally beneficial but also have the potential to succeed in the global marketplace.
Due Diligence: A Multi-Faceted Process"
Our thorough due diligence process involves:
- Leveraging our global network of advisors to gain industry and market-specific insights
- Conducting extensive desk-based primary research
- Engaging in direct conversations with potential future acquirers
Our network of advisors who are spread across the globe bring diverse perspectives and deep industry knowledge to our due diligence process. We tap into their expertise to gain region-specific insights into regulatory environments and market dynamics, test our own technical validation of the proposed solutions, understand industry trends and future projections, while also exploring potential partnership and collab opportunities.
Complementing this is our own research that includes elements such as potential market size and growth, opportunity for scale, competitive landscape, IP analysis etc. Then we also seek to better understand the long-term prospects of the company. This is where we will conduct interviews with potential industry buyers, gather insights on what makes a technology attractive for acquisition and understand the metrics and milestones that drive valuations in specific sectors.
Ultimately, this approach allows us to gather critical information about market trends, industry needs, and potential exit strategies. It ensures that our investment decisions are grounded in a deep understanding of both the technology and its commercial potential.
Looking Ahead: Informed Decision-Making
While predicting whether a deep-tech company will ultimately be successful can be challenging, it helps to be "hyper-informed". By understanding both the technological landscape and the commercial realities, we aim to identify and support innovations that can make a lasting impact on our environment while achieving business success
