Industry: Distribution - Manufacturing - Systems
Revenue $50 Million

Challenge
A distributor and manufacturer of industrial systems filed for bankruptcy as part of a planned change in ownership.  The St. Louis based company started out in distribution but ran into trouble when product fabrication was added at six locations.

Solution
The Brown Smith Wallace Merger & Acquisitions team analyzed the company in 2002 when it first began losing money.  Suggestions were made to cut costs, including streamlining operations, increasing prices and reorganizing. Following a restructuring that merged 11 corporations into four, and after adopting some of the new suggestions, the company had an operating profit of $1.9 million through its last quarter of sales.

As a result, our team was able to work with the company's management to successfully market the company to potential buyers. If you would like to discuss a merger or acquisition, please contact Barry Worth, CPA, CVA, CM&AA, 314.983.1202, bworth@bswllc.com.