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 were in disagreement about the company's growth strategy, with the operating shareholder wanting 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. Confidentiality was critical throughout this transaction. FirePower put the facilities in place through a 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 before 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.
LEAP Group was formed to acquire the assets of Metal Networks, an online quoting platform for metals procurement based in Austin, Texas. FirePower arranged a compelling deal structure for LEAP in this distressed situation.
TFI is the largest distributor of specialty food preparation equipment and training programs in Canada, supplying over 10,000 locations. FirePower's investment banking team advised management on financing the buy-out of existing shareholders.