Regulatory & Consulting
Due diligence
Forensic Investigations, Corporate Intelligence & Litigation Support
Due diligence: understand risks, uncover value
Private equity firms and asset managers operate in an environment shaped by increasing regulatory expectations, emerging ESG obligations, complex sanctions regimes, and evolving AML requirements. In this context, due diligence is no longer a box-ticking exercise, but a strategic mindset that shapes every transaction and every business move.
Due diligence transcends any simple checklist. It is the comprehensive process of investigating, assessing and analysing information to fully understand the risks, opportunities and long-term implications of a decision. It is about questioning assumptions, verifying information, and addressing potential warning signals with healthy scepticism and curiosity.
With the rise of new EU regulations (CS3D, CSRD, the new AML package, the upcoming EU anti-corruption directive), the stakes have never been higher. Investors must show that risks are properly identified, assessed, documented and addressed, reinforcing trust among stakeholders and protecting their reputation.
Why due diligence matters for PE and asset managers
Transaction due diligence goes far beyond legal or financial review. It enables investors to confirm or challenge what has been disclosed and uncover what has not.
It helps you answer fundamental questions:
- Are the people and entities behind the target truly what they claim to be?
- Are there hidden UBOs, undisclosed liabilities or governance concerns?
- Could ESG controversies, sanctions exposure or litigation history jeopardise the deal?
- Are there integrity risks that may affect valuation, post-closing terms or future compliance?
Early detection gives investors an edge in negotiations, supports fair valuations and reduces the likelihood of unpleasant surprises, including exposure to costly litigation or regulatory scrutiny. It also strengthens negotiation strategy by uncovering hidden affiliations, external influence, or issues that remain invisible in a classic data room review.
A mindset that supports confident, well-documented decisions
Effective due diligence is always tailored to each specific use case. It begins with clarifying your objectives, regulatory frameworks, risk exposure, what you hope to confirm or uncover, and then leveraging a range of intelligence sources (OSINT, specialised databases, media archives, judicial and financial records, HUMINT when required).
The principle approach:
- Safeguards investments
- Protects deal value
- Supports sustainable strategies
- Reinforces trust
Ultimately, it allows PE and asset managers to act with confidence, clarity and resilience.
For more insights, download our service offering.
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A comprehensive overview of our risk-based due diligence methodology, levels of scrutiny, use cases and examples from real investigations.
Contact our experts
Stéphanie Lhomme
Partner ARC
Edouard Delfosse
Director