Ignacio Vercesi was analyzing the information he had of Donaldson, S.A., potential target for acquisition of the private equity company where he was founding parnter.

Donaldson S.A. was a small Spanish firm in retail, with reknown and traditional brands. It was going through difficulties as a consequence of the changes in the new consumption tendencies and the recent economic crisis.

Even though the company was in what Mr. Vercesi considered was an unsustainable situation, the owners of Donaldson with whom he had been in contact considered unacceptable any offer below book value. The mayority of Donaldson's capital was owned by a family, and the company wasn't public.