Joe Adinma & Co.
Accounting & Business Advisory Trading & Distribution

Financial due diligence for a logistics acquisition

Anonymised private equity-backed buyer (Nigerian target)

Published February 6, 2026

A buyer engaged us to perform financial due diligence on a regional haulage target with mixed owned and leased fleets. Vendor due diligence had presented aggressive EBITDA adjustments for owner expenses and one-off maintenance items.

We normalised earnings, tested fuel rebate arrangements, validated fleet utilisation data, and stress-tested working capital for seasonality around festive demand. Completion accounts mechanics were agreed upfront to reduce post-close disputes.

Our report highlighted three deal risks—underfunded maintenance, contingent litigation, and a related-party lease—allowing the buyer to negotiate price chips and escrow holdbacks. Post-close, we supported the first 100-day integration reporting pack.

Measurable outcomes

  • Purchase price adjusted downward by 8% based on identified normalisations
  • ₦35m escrow holdback agreed for maintenance and tax exposures
  • Completion accounts signed within 30 days of closing
  • Integrated reporting template delivered for day-100 management review
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