A service company wanted to sell one of their divisions to create capital to fund its core business. After taking the project to market, VERCOR realized that offers from strategic buyers and competitors were less favorable than from key management.

Challenge: Because of market dynamics, the seller wanted to sell the division quickly to create capital. However, the key manager's main objectives were to keep the company's structure intact and maintain relationships with the seller, since they would have an ongoing association after the sale.

Solution: After navigating the buyer through a maze of financing options, VERCOR successfully negotiated an option that was pleasing to both the seller and buyer. While ensuring the continued success of the division the key manager had worked hard to initially establish, the seller was able to divest the portion of his company that he wished to sell and raise the necessary capital to expand this core business.

For additional information on VERCOR management buyout services, click here.

Learn how VERCOR located a key buyer for a manufacturing firm.