SECTOR

Manufacturing

BUSINESS DESCRIPTION

A £10m turnover supplier of tubular components used in the door frames and engine components.​​

DATE

September 2019​​

SITUATION

• A £10m turnover supplier of tubular components used in door frames had accumulated significant losses under private equity ownership and the directors wanted to file for administration.

• ​The Company was a critical supplier for a large British equipment manufacturer who had no immediate alternative supplier. A&M commenced an immediate accelerated sale process for the business.​

A&M ROLE AND OUTCOME

• We secured reduced payment terms from the customer group in order to support the short term cash flow and secure a runway with which to market the business to both trade and turnaround investors.​

• Support of the customer group was critical as without future order commitments, achieving a sale would be difficult.​​​

• Working closely with key customers throughout the process we were able to secure a sale to a trade buyer who had a proven track record with the customer group.

• The transaction was consummated via a pre-pack insolvency process and the business was rescued as a going concern with employees transferring over to the new purchaser, Fablink Toolspec, a newly incorporated UK limited company. Fablink Toolspec was incorporated specifically for the acquisition of the business and assets of Toolspec Manufacturing Company, and is part of the Fablink Group of companies, which is not connected to Toolspec.​