The sole provider of outsourced drilling and blasting services to the coal mining industry in the Central Appalachia Basin.
Brookwood was engaged by the owners of Virginia Drilling Company to sell the business.
Engagement Process and Outcomes
The Situation – Company was privately held by the management team who sought to diversify their personal net worth and gain access to capital for growth. Management needed a partner with the analytical and financial resources to support continued growth. However, it was a geographically inconvenient company in a highly specialized industry.
Due Diligence and Marketing – Brookwood conducted thorough due diligence on the Company and the industry to address certain key concerns of this niche industry. Brookwood marketed the opportunity to a short list of highly qualified financial buyers that met the criteria outlined by Management.
Great Fit – Management selected a financial sponsor (Harren Equity Partners) that offered a flexible, tax-advantaged structure and provided access to additional capital if needed. Brookwood negotiated a creative transaction structure that maximized cash at closing and gave Management a chance to participate in the growth of the Company.