Accelerating private equity deal flows with Claude

Let's look at how Claude accelerates private equity deal flow from days to hours. We'll follow Sarah, an associate at Riverside Partners, on the sell side, and Jen, a VP at Wealth Capital on the buy side. They're working on Horizon Health Group, an $85 million healthcare services business. Sarah needs a deal teaser and asks Claude to create a client ready presentation using the deal teaser skill. Claude searches Ignite, finding financials, customer analysis, and operations data, and extracting revenue, margins, retention metrics, and facility details. In under 2 minutes, Sarah's got a professional teaser ready to send. The teaser lands in Jen's inbox. She asked Claude to screen it and build a leverage bio model using the LBO skill. Claude pulls from SharePoint for investment criteria and extracts data from the teaser. Within minutes, Jen gets a comprehensive screening memo and sees that Horizon Health seems to check all the boxes. But Claw does deeper diligence. It searches the Ignite data room to find that Blue Cross regional is 18% of revenue with a contract that expires December 2025. 28% of revenue has short-term termination clauses. This is risk that wouldn't have been picked up at a glance. The verdict conditional pass. The blue crush renewal needs to be locked down. Now Jen looks at the numbers. Claude built a complete model in minutes which would have taken an analyst hours. Purchase price at 11 times IBIDA, five times leverage with 5year cash flow projections and a debt amortization. An upside in base case. Base case shows 26% IR and three times money multiple well above the 20% hurdle. Jen stress tests with Claude, asking to add a downside case in Excel. Claude immediately builds a new scenario with lower growth and margin assumptions. Jen sees Claw's work in real time and validates its assumptions. Downside yields a 19% IR right at threshold. Then she asks for sensitivity analysis. Club builds a matrix eight time to 12 time exits. At 10 times, the numbers tie exactly to the model. Even at eight times, the returns are acceptable. The fan of outcomes look good. It's Monday morning, and Jen has an investment committee meeting in a few hours. She asked Claw to synthesize everything with a letter of intent recommendation. In minutes, Jen receives an investment committee deck with a recommendation to proceed with a letter of intent at 10 to 11 times IBIDA. Claude flags contract risks as preoi conditions. Base case generates 26% IR downside 19%. LOI recommendation 11 times if Blue Cross is locked down, takeoff return if not. Sarah went from data room to teaser in 2 minutes. Jen took a teaser to an investment recommendation in 48 hours. Claude caught a material contract risk by reading the data room files, then quantify the deal still works. This is better diligence faster.