Joint Ventures and Alliances

Joint ventures and alliances are increasingly important strategic tools for companies as they respond to market disruptions and drive innovation and growth. A joint venture can provide the benefits of collaboration without the financial risks associated with an acquisition.

What EY-Parthenon Joint Ventures and Alliances services can do for you

Companies across industries and geographic borders may participate in joint ventures to access scale, new markets, unique technology or to share risks tied to taxation, financing and digitalization. The diversity of reasons for adopting a joint venture versus a strategic alliance — and the variety of assets contributed to a venture — will demand customized legal, governance and operational design. Many corporate development departments need help to develop centralized, consistent insights focused on how to manage the increase in joint ventures and alliances.

When to consider joint venture versus strategic alliance?

Depending on the industry, opportunity and financial realities of a situation, businesses may need to swiftly contemplate a joint venture versus strategic alliance. A joint venture may require deep integration, while a strategic alliance can quickly harness emerging technology and knowledge from other industries as ecosystems expand.

How EY can help with joint ventures and alliances

We help clients by bringing a true end-to-end life cycle approach to a joint venture or strategic alliance. We provide integrated strategy, financial, operations, tax, risk, technology, cybersecurity and talent capabilities. This is enhanced by our artificial intelligence (AI)-enabled suite of Connected Capital Technologies: Competitive Edge, Diligence Edge and Capital Edge.

Across the joint venture life cycle, EY-Parthenon professionals can help companies with:

Joint venture and alliances planning

  • Strategy and business plan development
  • Joint venture scope definition
  • Partner selection assistance
  • Commercial analysis
  • Financial, legal and tax structuring
  • Valuation of asset contributions and equity stake
  • Clean room analysis of synergy potential
  • Standalone and one-time cost analysis

Forming a joint venture or alliance

  • Integration and separation planning
  • Regulatory, tax, legal entity, technology and cybersecurity planning
  • Joint venture financing
  • Financial reporting planning
  • Board governance and structuring advice
  • Dispute resolution and exit planning
  • Tax, accounting and reporting impact for different entity structures
  • Parent company service agreements

Operation

  • Growth and synergy realization
  • Integration management including technology
  • Organizational design
  • Culture, communication and change management
  • Financial and tax reporting
  • Partner capital management

Joint venture and alliance dissolution

  • Investigation and dispute resolution
  • Valuation assistance
  • Tax planning
  • Separation planning and execution
  • Carve-out financial statements


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