CSR Cosmetic Solutions
Acting as exclusive advisor to the seller.
CSR is an Ontario-based, contract manufacturer of cosmetics and personal care products. The CEO and sole owner had operated the business for over 15 years and was ready for a well-deserved retirement. A sale process run by a top-tier accounting firm in 2015 was unsuccessful.
Undeterred by the accounting firm’s result, we dug deep into the company’s metrics and knew we could negotiate success. We identified 102 potential buyers, both strategic and financial, through a search that went global and surfaced only 25.5% Canadian prospects. We created an auction-like environment that yielded 8 offers by the deadline, with Korean and American buyers making the most aggressive proposals. We overcame major cultural differences with the eventual winner, a Korean publicly traded contract manufacturer, and arrived at a deal in the upper end of the initial value guidance. The post-acquisition integration process was highly productive and the company is now growing under new ownership.
GrowthGenius (“GG”) is an AI-assisted sales prospecting service provider for B2B businesses, headquartered at the OneEleven accelerator in Toronto. The company needed financing to fund its rapid expansion. Raising equity seemed like the obvious choice, but GG's exceptional growth prospects made an equity investment unappealing because of the high cost of dilution. GG sought out a debt solution, and were well into discussions with other lenders when FirePower was introduced.
F12.net (“F12”), a leading Canadian Managed Service Provider (MSP), was executing on a highly successful acquisition strategy. The FirePower team built a comprehensive target list and crafted a story emphasizing F12’s amazing corporate culture. Of the potential targets, Apps on Tap represented an exciting synergistic addition for F12. With FirePower’s support, F12 acquired Apps on Tap in May, 2018.