Speaking the bank’s language.
One of three equal shareholders of a infrastructure services company approached FirePower seeking to buy out the other two shareholders.
The shareholders have been in disagreement around the growth strategy, with only the operating shareholder wishing to reinvest in the company’s growth, and the other two exclusively interested in their share of dividends.
FirePower worked in confidence with the operating shareholder, putting in place the capital required to a) buy out the shares of the other two shareholders, and b) ensure financing for the company’s growth. The transaction had to be highly confidential; FirePower put the facilities in place through a very discreet process and was able to navigate the funding process without the other two shareholders' knowledge.
As soon as the credit facilities were in place, the operating shareholder was able to exercise the “shotgun clause”, which gave the other two partners 30 days to reverse the deal.
Unable to secure financing when the term expired, they were bought out. The infrastructure services business is now growing at a much quicker pace, with strong leadership and a clear vision.
Rhyno Equity Group
Rhyno is a private equity firm that acquires mid-market manufacturing companies in the GTA. Their partners engaged us to structure the debt component of a buy-out of a kitchen cabinet maker.
LEAP Group was formed to acquire the assets of Metal Networks, an online quoting platform for metals procurement based in Austin, Texas. We arrange a compelling deal structure for LEAP in this distressed situation.