A niche paper-related manufacturer owned by Sun Capital Partners. Management and the owners sought to capture value for a leading market share business line. The Company perceived its options were to shut down the Company or quickly consumate a transaction.
Brookwood advised Sun Capital Partners on the sale of the Company in an expedited transaction process.
Engagement Process and Outcomes
The Assignment – Brookwood was engaged by the private equity firm to manage a limited, fast sale process. Brookwood’s analysis showed that the business line would generate significant profitability if owned by one of the large strategic competitors.
Brookwood’s Role – Brookwood assisted Management and the PEG in identifying the three most-likely acquirers and arranged face-to-face meetings with all three potential buyers within 30 days of start of engagement. The engagement team also prepared compelling presentation materials to force buyers to look beyond money-losing internal results.
The Result – Brookwood received written offers from all three potential acquirers within 45 days of face-to-face meetings. Furthermore, Brookwood managed timing expectations of potential acquirers to “keep them warm” while waiting on final bids. MeadWestvaco (NYSE: MWV) acquired the product line in a highly-tailored transaction.