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Key Issue Audit
Due Diligence Audit

TECHNICAL DUE DILIGENCE SERVICES

01/05/2007
As a multidisciplinary knowledge based organisation it has been of indisputable importance for Grontmij | Carl Bro that our services have been developed to match the demands of the industry facing M&A transactions

To achieve this goal we have divided our services into four main specialist disciplines:

• Environmental Due Diligence
• Production Due Diligence
• Social Due Diligence
• IT Due Diligence
• Building Due Diligence

Environmental Due Diligence
Liabilities to pay damages can have devastating consequences for transactions otherwise completed professionally and in god faith if post-transaction findings reveal that extensive soil and/or ground water pollution has taken place in the past.

Therefore the Grontmij | Carl Bro specialists are trained to spot any possible signs of such conditions. We are co-operating with drilling companies who can act almost momentarily to disclose and verify the possible causes of the contamination. The Environmental Due Diligence focuses on:

• Use of hazardous materials in buildings and constructions
• Handling of hazardous materials and liquids
• Noise emission
• Air pollution and emission
• Ground and soil contamination
• Ground water pollution
• Workers health and safety environment
• Compliance with local, regional and international (EU) directives, e.g. IPPC

Production Due Diligence
Although many of our clients are fully competent to evaluate the technologically based assets of the target company a large majority of particularly Institutional- and Financial Investors choose to involve Grontmij | Carl Bro in the evaluation process during which we focus on:

• Production technology versus BAT (Best Available Technology)
• State of maintenance – Preventive Maintenance Program
• Logistics and transportation
• Stocks and Work in Progress
• Production line downtime
• Benchmarking of key figures

Social Due Diligence
Typically it is carried out as an Environmental and Social Due Diligence Assessment. The social issues relate to involuntary resettlement, in-flux workers management, employment procedures, gender issues, human rights, child labour and forced labour. Public consultation is also an important issues.

Grontmij | Carl Bro was the first Danish consultancy company signing the UN Global Compact 10 principles and our Code of Conduct is in compliance with the FIDIC Guidelines for Business Integrity Management in the Consulting Industry.

IT Due Diligence
The success of transactions will to a great extent depend on the new organisations ability to share and deal with information. Realising that this has to take place in a new cultural environment and possibly across language barriers it is important to uncover any hardware and/or software incompatibilities and assess the cost related to restore cross-platform communication. Grontmij | Carl Bro focuses on:

• Software copyright compliance check
• Hardware technology assessment
• Cross-platform compatibility

Building Due Diligence 
Your buildings and other constructions will be audited by one of our senior civil engineers. The building auditor will review the cadastra information and check all buildings.  
 
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