Sellers | Case Studies
Here is how the principals of The Acquisition Search Corporation (TASC) have helped some clients in sales and divestitures:
- A major investment banker had tried for a year to sell a manufacturer serving the petroleum industry, without producing even a serious expression of interest.
When the owners asked for help, seven offers were secured, and they were assisted to complete the sale.
- The partners in a service company sought advice on responding to an unsolicited offer to purchase it.
Its unique value to the corporation making the offer was correctly identified and quantified to determine the highest price attainable. The partners were helped to negotiate the sale at this price, which was substantially above the initial offer.
- An electrical products distributor had stagnant sales and profits, uncertain management continuity, a major part of its sales in a product area regarded by its industry as unattractive, and had already been rejected by all the most aggressive industry consolidators.
TASC thoroughly analyzed the company and its industry to identify what was attractive about it and who would be interested. A sale was completed to a corporation which had previously declined interest, at significantly above the initial asking price.
- The owners wished to sell an unprofitable poultry processor and grocery distributor.
A prolonged effort by a major financial institution had failed to produce a buyer. Strategic analysis by The Acquisition Search Corporation revealed that the two divisions could more easily be sold separately. Our research identified several serious prospects for each division. In four months, both sales were completed.
- The owners of a three-year-old machine shop with less than $1 million of sales, negligible profits, negative net worth and a single dominant customer sought to sell at a price far in excess of what could be justified by financial results.
The Acquisition Search Corporation helped them to hand pick a buyer, generate interest by focusing attention on the strength of the company's strategy rather than the weakness of its financials and structure a transaction that was highly attractive to both sides. The sale was completed at a price in excess of the one originally sought.