Unconventional Natural Gas Market Assessment

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Problem:

A large regulator technology manufacturer wanted to better understandgrowth in the Unconventional Natural Gas (UNG) market and whether thiswas an addressable adjacency.

Beacon was asked to perform a rapid market sizing and segmentationassessment covering China, Europe, and the U.S.  Within the U.S. marketwe were asked to identify the technologies driving UNG growth, and toidentify potential candidates for acquisition in order to improve ourclient's position and footprint within the UNG market.  However, targetswere limited to regulator technologies that have strong synergies withits current portfolio.

Approach:

The Beacon Group leveraged its primary research and analytic framework capabilities in order to assess 187 component technologies as potential acquisition targets through conducting over 300 conversations with industry participants, academics, and analyst sources. This assessment included a market sizing analysis of the identified attractive technologies which highlighted expected growth over the next five years.

Beacon was able to screen the 187 analyzed components down to five potential acquisition technologies that met requirements based on size and growth, profit margin, component technology, and utilization of unique IP. Within each of the five potential acquisition technologies, Beacon identified and analyzed the leading competitors in order to provide our client with a force ranked list of acquisition targets.

Results:

Through developing a robust understanding of the component technologies required for extracting and processing UNG, Beacon provided actionable recommendations for our client to achieve organic and inorganic growth objectives.  In analyzing the attractive component technologies, Beacon recommended more in-depth analysis of five potential acquisition candidates. We outlined key points of contact and the potential points of interest in positioning our client's discussion. Further, Beacon identified a significant organic growth opportunity and provided actionable recommendations to best position for growth using existing client technology.