The largest independent manufacturer of vacuum booster brake components in the U.S. The Division had a mature product line with steady demand, but a new technology was expected to render the product line obsolete.
Brookwood assisted PMC in evaluating the long-term outlook for the Brake Division. After deciding to sell the division, Brookwood helped PMC find a suitable buyer and consummate an attractive transaction.
Engagement Process and Outcomes
The Challenge – PMC faced a decision to invest in new technology or explore other strategic options.
Effective Marketing – With Brookwood’s assistance, PMC concluded that the Brake Division was likely to be more valuable to another company seeking to increase its market share in this segment of the automotive supply industry. Brookwood conducted a broad yet quick marketing process.
Respecting Confidentiality – Brookwood successfully limited disclosure of confidential information to a limited number of highly interested parties, while maintaining a competitive process.
Excellent Result – Successfully structured a transaction that provided PMC with both an attractive value at closing and an opportunity to earn substantial additional proceeds. Transaction was completed with an unexpected buyer that intended to reinvest and expand the operation.