Welcome to the September issue of ACM Capital Partners’ Value Line newsletter. In this issue you will find details of the sale of assets for a $50M cable provider in Florida, a new engagement with a $40M agricultural company and the addition of a new member to the ACM team.
ACM LEADS THE SALE OF A $50M CABLE PROVIDER IN FLORIDA
This $50M cable provider was severely hampered by pricing pressure from its key customers and unprofitable markets and was in default of its factoring line. The Company was burning cash at $250K per month and the lender had threatened to wind the business down. ACM professionals stepped in and implemented a thirteen week cash flow reporting and monitoring process, reduced operating costs and obtained a new credit facility, which replaced the senior lender at par. The new credit line brought added liquidity to the business while cost savings reduced the burn rate to $100K per month. ACM then led the sale process, which yielded an implied sale price of 6x adjusted EBITDA.
“We are extremely pleased that we were able to provide relief to both the owners and creditors in this engagement,” said Jim Martin, ACM’s Managing Partner. “It is a successful outcome for all parties involved.”
ACM HIRED FOR OPERATIONAL LEADERSHIP BY A $40M AGRICULTURAL COMPANY
ACM has been hired to provide business advisory services to a $40M agricultural company located in Northern Florida.
ACM’s Managing Director, Mark DeLeo, will lead the effort of this five-month operational improvement project and will focus on implementing sustainable changes to grow revenue, reduce costs, manage working capital and improve human capital performance. “We are pleased that this loyal client chose to return to us for advisory services,” said DeLeo. “I’m confident that we can make a positive impact immediately and assist with the long-term restoration of this business.”
ACM HIRES KEVIN HENRY AS DIRECTOR OF BUSINESS DEVELOPMENT
The firm announced the hiring of Kevin Henry as Director of Business Development. Mr. Henry comes with more than 25 years of progressive senior financial, managerial and entrepreneurial experience working with private investment banks, private equity firms and other financial institutions. He was with Schwab Capital Markets for 14 years as senior equities and sales trader, where he served as a member of the management team and assisted in the creation of the Schwab institutional trading platform. He has also originated and sourced more than $250M worth of equity and debt for private transactions in both public and private markets. “We are excited to have Kevin join our growing team. His skill set is very complimentary to our team and his contacts and industry knowledge will be invaluable to the firm and most importantly to our clients,” said Jim Martin.