Corrosion Service

Speaking the bank’s language.

Background

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.

Solution

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.

Investment Banking Manufacturing, Automotive & Industrials
Case Studies

Beverage & Alcohol
Our client was searching for new sources of revenue as it faced increased competition in its core business. After the VMX team identified an attractive new sector, our client entered it; it quickly led to an exit at an extremely compelling valuation largely due to its efforts in that new sector.

Read Full Case Study

Printfleet
FirePower was engaged to prepare PrintFleet for a a sale, and guide the company through to closing. Weeks before closing, the buyer with whom PrintFleet signed an LOI following a competitive auction, a Japanese Fortune 500 company, terminated the deal because of an internal reorganization. FirePower re-ignited conversations with a US strategic who had done well in the auction, and closed without any major challenges at an attractive price, terms and conditions.

Read Full Case Study
Market Insights
From the archives: September 2019

The Path to Exit and Beyond: Entrepreneurs' Stories, Part II
“The sale of a company can mark the beginning of a major time of reinvention and renewal...but It can potentially lead to a difficult…

Read Full Report