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.
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.
Rhyno Equity Group
Rhyno is a private equity firm that acquires mid-market manufacturing companies in the GTA. Rhyno's partners engaged FirePower to structure the debt component of a buy-out of a kitchen cabinet maker.