Welcome to the June issue of ACM Capital Partners’ Value Line newsletter. In this issue you will find details of the successful restructuring of $9 million in developer debt and two new engagements – the implementation of Phase II of an operational assignment for an aviation company as well as interim CFO for a chemical manufacturing and distribution company.
ACM NEGOTIATES $9M SETTLEMENT FOR GUARANTOR OF MULTI FAMILY REAL ESTATE DEVELOPMENT
The firm was retained by a real estate developer who had personally guaranteed a $20 million residential real estate project in the Southeast. The lender, based on the West Coast of the US, had filed suit against the developer two years ago. The developer, through a referral, contacted ACM for assistance. After an exhaustive process with the lender, its counsel and ACM, we successfully negotiated a $9 million forgiveness of the total indebtedness.
“This is a classic tale of the residential real estate exuberance witnessed prior to the meltdown in 2008,” said Managing Partner, Jim Martin. “This is a great example of our value added to all of the stakeholders. While the legal process had commenced and each side was in their respective corner, we managed to re-engage the lender while keeping the legal parties at bay. Once we negotiated a deal in principle, we reengaged counsel and got this deal done. This settlement will enable our client to regain his footing without having to use the courts to do so.”
ACM RETAINED TO COMPLETE PHASE II OF AN OPERATIONAL ASSESSMENT FOR $40M AVIATION CLIENT
The firm was retained by an aviation company to perform an operational assessment, which required a report of our findings. After the successful completion of Phase I, the client has asked ACM to assist with the implementation of the Phase I recommendations.
“Given our extensive experience in this space and with the recent time invested onsite in the client’s business, this was a natural transition into Phase II,” said Mark Deleo, Managing Director of ACM. “This deal is right down the fairway for our team. Similar to recent engagements, our client will benefit from 20 years of combined aviation experience on the assignment.”
ACM TAPPED TO ASSIST WITH THE LAUNCH OF A CHEMICAL COMPANY
The firm announced it has been retained to serve as the interim CFO for a new chemical manufacturer and distributor located in the Southwest. The focus of the assignment includes assembling the management team, staffing the back office, determining the proper amount of capital to be infused within the initial 12-month transition period and redesigning the manufacturing and distribution process. “We are excited to assist this equity client at this crucial stage. The timing of this venture could not be better given the market dynamics which exist in North America today,” said Jim Martin.