Methodology
D’Ornano + Co. has built a methodology – Hybrid Growth Diligence – for assessing the intrinsic value and resilience of High-Growth and Disruptive businesses across industry sectors.
An Asset-Based Approach
What is a High-Growth and Disruptive business?
- D’Ornano + Co. focuses on assessing High-Growth + Disruptive Assets, which span multiple geographies, sectors, asset classes and development stages, and cannot be evaluated within the confines of existing legacy frameworks. These assets fall into two categories:
- The “Disruptors”: Technology or sustainability companies that are tackling Digitalization, Decarbonization and Sustainability megatrends head-on.
- The “Agile Incumbents”: Companies across all sectors of the economy who place these megatrends front and center in their business models.
Our Methodology
TechnologicalaIntensity
Science
Auton. Machines
Space Eplorat.
Quantum Computing
Altern. Proteins
EV
Renew. Energy
Cloud
SaaS [Horizontal Apps]
Payments
SaaS [Vertical Apps]
DevOps
AI + ML [Horizontal Apps]
AI + ML [MLOps]
AI + ML [Vertical Apps]
Crypto [Infra.]
AI + ML [Foundation Models]
AR +VR
Internet
Digital Media
Online Education
Marketplace(s)
Online Services*
E-commerce
DTC Brands
Tech-enabled Services/Goods
Digital Marketing
Consumer Electronics
IT Services
nn
Low
Medium
High
Very High
Capex Intensity
We have defined specific frameworks of analysis across 16 segments of New Business Models* depending on their Technological and Capex intensity.
Each framework comes with a set of specific questions allowing to challenge the company’s intrinsic value and resilience.
At the start of an assignment, we classify the asset within one of those segments in order to have the appropriate framework.
New Business Models presented in the D’Ornano + Co. Matrix ™ are not exhaustive, and constitute only a sample of business models assessed at the firm.
*Online Services refer to services performed online across Insurance, Education, Banking, etc.
2
In-depth Financial + ESG Analysis
Intrinsic Value
Quality of revenue
Quality of margins
Quality of growth
Resilience
Strength of ESG profile
Legal resilience
GenAI resilience
HGD=
1
2
Revenue Model
Value chain caracteristics
Other Key BM Considerations
1
Preliminary business model Analysis
Hybrid Growth Diligence leverages detailed business model analysis to validate both the intrinsic value of the business as well as its resilience.
HGD not only identifies and answers the right questions to feed into the financing model – giving the investment team confidence in cashflow projections and coverage assumptions – it also helps the investor answer these fundamental question: Do we know the asset well? Do we want to make this investment?
Last, HGD allows an investor to feed its value creation plan.
