個案總覽

In June 2001, Jean-François Hilico, industrial project manager at Renault Trucks, had to recommend to his board a development strategy for the company's truck remanufacturing business. Remanufacturing consisted of rebuilding used parts to bring them to a level of performance just beneath that of new parts, at a much lower cost. After having analyzed the pros and cons of three investment options, participants are asked to make a recommendation. This case invites participants to take into account other investment criteria than just profitability, such as environmental protection, safety and the competitive implications of offering remanufactured parts. It is supplemented with a video of Renault Trucks remanufacturing activities.

In April 2002, Guy Semmens, a partner in Argos Soditic, has to decide whether to take the lead in the management buyout (MBO) of Kermel, a niche player in the specialty fiber market. Invites participants to consider an MBO from the perspective of the private equity investor and answer the following questions: What is the fair value of Kermel? How should you structure the deal to provide incentives for management while generating adequate returns? What would be the exit strategy?

In April 2002, Venkatesh Tulluri, then strategy director of Rhodia's technical fibers division, announced to management that he wanted to engineer a spin-off and management buyout (MBO) of Kermel, a small company within Rhodia's portfolio. Kermel was a niche player in the specialty fiber market that had not been included in the ongoing company's asset divestment program. Investigates the evolution of the MBO process and the hurdles Tulluri has to overcome to give life to his endeavor.