BUSINESS SERVICES

Marketing Services
A member of the board of directors of a $40 million marketing services company in Princeton, NJ contacted Wyatt Matas & Associates for a business valuation and to discuss the probability of selling the company. After completing the valuation and identifying the company's strategic alternatives, Wyatt Matas & Associates advised the company and board of directors through the acquisition process to a strategic buyer.

HEALTHCARE SERVICES

Outpatient Rehabilitation Facilities
Wyatt Matas & Associates advised an Illinois-based healthcare services firm in the divestiture of their seven outpatient rehabilitation facilities. Wyatt Matas & Associates assisted the company in using the proceeds of the divestiture to acquire three home healthcare agencies in two states.

Home Healthcare Companies
A not-for-profit Medicare and private duty home healthcare agency based in Michigan selected Wyatt Matas & Associates to advise their board on an exit strategy. Our role was to determine whether proceeds from a transaction would be put to better use in a foundation. The agency had a sizable fund balance, but was loosing money because of increasing competition and high overhead. However, they still had a sizable market share and the best reputation in the state, according to independent referral source research. It was determined that turning the agency around would be a significant and costly challenge for the current management and an exit was the best option. Because of the mission of the not-for-profit, the board had very specific buyer criteria. Therefore, despite the fact that they were losing money, the board rejected what would be considered market premiums from multiple buyers and picked an individual buyer whose philosophies aligned more closely with that of the not-for-profit. The transaction was successfully consummated and the foundation was established.

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Wyatt Matas & Associates was contacted, independently, by two home healthcare agencies in the same market about selling their businesses. While the two agencies knew each other and had corporate offices in the same city, they had avoided each other and opened branch offices in opposite directions as they expanded in the state. Wyatt Matas & Associates broached the sensitive subjected with each owner about combining the agencies and going to market together, which would bring a higher market valuation. Each owner eagerly accepted this concept, and Wyatt Matas & Associates began modeling the integration plan. Prior to going to market, it became clear that companies had the neither capacity nor management expertise to bring two large companies together, and it would take a qualified acquirer to integrate the two. While this did take away from the market premium the two would receive from going to market together, we advised the clients that a slightly lower valuation was better than putting both companies at risk. At the same time, we were still able to show, even after discounting for the integration risk, a higher valuation than if they were to go to market separately. Ultimately, Wyatt Matas & Associates did find an individual financial buyer looking for a home healthcare platform that he could build upon. This was a perfect fit for him and the sellers.

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Wyatt Matas & Associates was selected to advise an $18 million home healthcare company on developing the capital structure to acquire multiple home healthcare agencies across the Mid-Atlantic. On behalf of the company, Wyatt Matas & Associates managed the acquisition of four home healthcare agencies and one hospice agency over the course of 18 months.

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A Michigan-based home healthcare agency contacted Wyatt Matas & Associates to assist the company in identifying a strategic capital partner that would allow for a liquidity event for the owner, but also allow him to remain as an operating partner. Wyatt Matas & Associates used its relationships in the private equity arena to advise the company's owner in the selling of 75 percent of the equity in his business, while remaining president of the company.

INDUSTRIAL/MANUFACTURING

Calendared Plastics/Building Products Company
The CEO of a $55 million building products company contacted Wyatt Matas & Associates to examine his company's financial situation. Four years earlier the company had been through an ESOP transaction and was still highly leveraged from that transaction. At the time of the call, they had reached the extent of the revolving line of credit. They were substantially behind on trade receivables, and their senior lender had reached the end of their willingness to support the company. This was also at the height of the financial crisis, so business was dropping dramatically and, due to their current leverage ratios, replacing the senior lender was not an option. Wyatt Matas & Associates was engaged to find a buyer and negotiate with the bank as the attorneys led the company into bankruptcy. The bankruptcy court, senior lender and creditors committee approved Wyatt Matas & Associates to find the buyer while determining if there were options to keep the company operational. Ultimately, the senior lender made it clear that they would participate with the current management as a going concern and tried to force a quick liquidation. However, Wyatt Matas & Associates was able to find an individual buyer that kept the plant operational and saved over 250 jobs in a small Pennsylvania community.

Agricultural Equipment Manufacturing Business
A $21 million family-owned agricultural equipment manufacturing business in Georgia retained Wyatt Matas & Associates as advisors to identify strategic alternatives that would allow the family patriarchs to realize a cash-out event, while the youngest operating family member would remain with the company as the CEO. Wyatt Matas & Associates identified four private equity groups that would work within the structure the owners devised, allowing the private equity group that represented the best cultural fit to acquire the company. Wyatt Matas & Associates remains a strategic advisor both to the CEO and the acquiring private equity group.

Government Contracting/Microwave Technology
A $9 million microwave technology manufacturing company engaged Wyatt Matas & Associates to assist the owner in selling the company to key members of his management team. After multiple rounds of negotiations with both parties, it became evident that the management team would not have sufficient financing to acquire the company as initially planned. Wyatt Matas & Associates leveraged relationships in the financial community and was able to identify three private equity companies that would acquire the company alongside the management team. The owner was able cash out and the management team was able to retain 35% of the company.

Plastic Injection Molding
Wyatt Matas & Associates acted as the advisor in the merger of two plastic molding companies in St. Louis, MO and Birmingham, AL. Wyatt Matas & Associates was engaged by the Birmingham, AL plastics company to assist with negotiations that had been going on for eight months. Once engaged, Wyatt Matas & Associates was able to reach a consensus between the two boards of directors to create a merged company with revenues in excess of $50 million. Wyatt Matas & Associates remains an advisor to the newly combined board of directors.

INFORMATION TECHNOLOGY

Billing Software Company
An $11 million national billing software company, which had been presented with an unsolicited offer to have their business acquired, contacted Wyatt Matas & Associates to assess the viability of the offer. After a review of the offer and the company's strategic alternatives, Wyatt Matas & Associates identified four competing bids. By initiating a defined acquisition evaluation process, Wyatt Matas & Associates was ultimately able to negotiate a 40% higher selling price from the original bidding party.