Broadband Success Partners offers a comprehensive range of technical and operations due diligence services for strategic and non-strategic buy side and sell side clients in the U.S. and around the world. The result is a complete assessment of the quality and future readiness of the networks. The validity and economics of build plans can also be analyzed. Furthermore, we can apply our knowledge on behalf of U.S. State Broadband Offices who are evaluating the technical merits of grant applications.
Broadband Success Partners supports buy side clients from investors to service providers at each stage of the bid process and on private deals. We fully evaluate the quality of existing fiber and non-fiber networks as well as the future readiness of the system. For the latter, the firm will present the potential upgrade paths including the expected performance and associated cost. Build plans, pre-construction, are also analyzed as required.
To thoroughly conduct a technical due diligence, Broadband Success Partners utilizes a two-phase approach. The first phase is the Red Flags Assessment – consisting of a desktop analysis of all technical documents for areas in the chart below. The material is often in the virtual data room. To get answers to open questions and probe for greater clarity on others, there is a technical due diligence session with the operator’s management team.
A Phase 1 Red Flags Assessment report is produced and presented. Any issues of concern are noted. The particularly problematic issues are designated with a red or yellow flag. Remediation steps are recommended. A sample Phase 1 report can be accessed here. The duration of Phase 1 is typically two to four weeks.
Following Phase 1, Phase 2 is conducted. This is the On-site Confirmatory or Validation Phase. Representative sites of the system are inspected. This includes:
- Network Core
- Inside Plant
- Outside Plant
- Cabinet Sites
- Splice Points
- Central Offices
- Circuit Terminations
- Customer Installation
- Network Operations Center
- Support Facilities/Resources
- Vehicle Maintenance
- Tools & Test Equipment
- Construction Machinery
A Phase 2 Report is produced and presented. As with the Phase 1 Report, any concerns are noted. The significant issues are marked as a red or yellow flag. Remediation steps are recommended. The duration of Phase 2 is also typically two to four weeks.
Broadband Success Partners’ approach is also described in this article: Buyer: Be Aware.
Across over 50+ engagements, Broadband Success Partners has seen the good, the bad and ugly. Those findings are highlighted in this article: Telecom Technical Due Diligence Discoveries.
Broadband Success Partners supports sell side client including service providers seeking a buyer, capital or credit to upgrade and/or expand their network. For example, client Surf Internet relied, in part, on the network evaluation to be acquired by Bain Capital Credit and fund the fiber overbuilding of their fixed wireless network.
Two potential benefits of a sell-side technical due diligence are the acceleration of the entire process by up to two months and the remediation of deal-impacting issues not previously known. The due diligence steps executed by Broadband Success Partners for its sell side clients are the same as those described in the buy side section.
Beyond the U.S., we have supported private equity firms, infrastructure funds and public pension funds with opportunities in Brazil, Europe and Canada. For leading service providers in Australia and New Zealand, Broadband Success Partners evaluated their networks.
We are former service provider executives with direct experience in building networks via Public-Private Partnerships (PPPs). For example, a member of our team used CAF2, RDOF and ACAM funds to construct systems in several states.
Now, we can apply that experience together with our knowledge from 50+ due diligence projects, to help State Broadband Offices evaluate the technical capabilities of BEAD subgrant applicants and their technical designs, proposed budgets and project readiness.
What level of scrutiny will each State apply? To learn about some of the scoring criteria we would recommend, please click here.