Reputational diligence changes PE documentation

Author: Ashley Lee | Published: 8 Oct 2014

An increasing number of private equity firms are using reputational due diligence to achieve better valuations.

In a recent report by risk consultancy Kroll, all 50 general partners (GPs) in Asia surveyed had conducted reputation-focused due diligence. Sixty-six percent hoped it would mitigate fraud.

The results reveal GPs and strategic buyers’ different motives. Violet Ho, Greater China senior managing director at Kroll said that corporate clients...