BMP partners have completed hundreds of assignments in their combined 90 years+ financial careers. Whether a company is in crisis, requires buyside/sellside due diligence or simply needs to enhance existing management, BMP has the solution.
Briggs Management Partners has always operated in a discreet fashion and does not trumpet our successful engagements to the investment banking community or within our client’s industry. Below however are specific engagements successfully completed.
Scenario
A $100M+ 3-division defense and aerospace manufacturer had broken production, operations and accounting processes resulting in over $14M in losses. Individual divisions had no autonomy, and cash management was performed at the corporate level.
Additionally:
As a result, the financial sponsor was forced to take a $25M+ “mark to market” write-down.
Action Taken
BMP partners took on the CRO and CFO roles, and established new production management and processes, sold off excess inventory generating much needed cash flow, developed a manufacturing COGS forecast including forecasted purchases, renegotiated terms with fatigued vendors (obtaining 60-day terms in some instances), and returned all customer shipments to agreed-upon schedules.
Result
In one year, the company went from losing $14M in EBITDA to generating $5M+ in EBITDA. One division was sold, and the senior lender and financial sponsor were able to bring their entire investments back onto their balance sheets.
Scenario
A $130M Business-to-Business-to-Consumer SAAS company had poor EBITDA performance, inadequate monthly close procedures, and materially inaccurate forecasting. The ownership team was extremely disappointed in these results but was unable to determine the root causes of underperformance. Additionally, the credit facility was imperiled due to a technical default and a lack of audited financial statements.
Action Taken
A BMP partner was inserted as the interim CFO. BMP evaluated the existing accounting team, forecasting techniques and accounting closing procedures and:
Result
The monthly financial close was reduced to 3 business days, and the financial audit was completed. Company performance was measured monthly, returning the company to stable and predictable profitability, and ownership and the company’s lenders were satisfied.
Scenario
A struggling $230M Oil Field Services and Drilling Tool Rental company was in decline when oil prices and the deep gas drilling industry turned sharply downward. Syndicated drilling funds (a large source of revenues) disappeared, and availability of energy company loans quickly diminished.
The company was hemorrhaging cash without awareness of how to react or even mitigate loss, and conditions worsened daily.
Action Taken
Quick action was required to battle the company’s decline in the deteriorating market conditions. A BMP partner assumed the role of CRO and:
Result
The company achieved a full year of positive performance and was ultimately taken public on NYSE.
Scenario
One of Virginia’s largest home health care agencies with over 3,000 employees was trending negative and financial reporting was in disarray.
Action Taken
BMP retained outside auditors and hired additional interim management. Financial reporting was restructured, workforce assessments and reductions were implemented, and the company was positioned for sale.
Result
The company was successfully sold to a Private Equity fund.