Client:
Mid-tier Manufacturing Company
The Challenge:
A privately help manufacturing company grew significantly over a 11-year period and the founders wanted to sell the company. The following goals were pursued during the engagement:
- Analyze current business operations and reported financials
- Assist in business case and PPM documentation preparation
- Provide negotiation assistance and facilitate investor inquiries
The Solution:
Working closely with our Client, the HBSC Team gained a thorough understanding of the operations and financials and executed the marketing and sale of the company. The following tasks were completed:
1. Assist with High-level Financial / Business Analysis
- Review existing financial documentation
- Understand any financial anomalies
- Work with Accountants and internal personnel to explain anomalies
2. Create Documentation for Marketing the Company to Financial and Strategy Buyers
- Create an NDA
- Create an Executive Summary of the Business (For marketing purposes)
- Create a business plan (showing financial projections and scenarios)
- Create a Private Placement Memorandum (PPM) – Explaining risks of the deal to potential investors
- Assist in marketing the Company to interested Third-parties
3. Determine Sales Strategy and Lead Third-party Negotiations
- Assist in determining sales strategy and scenarios
- Facilitate negotiations with interested Third-parties
The Benefits
Client organization achieved a successful transaction outcome with the following benefits:
- Multiple Offers Generated: Marketed the deal to Private Equity and existing industry participants.
- Business Sold Within 90 days: Transaction was analyzed, marketed and closed within desired timeframe.
- Company Sold Above Asking Price: Company was sold for more than original asking price