Conway MacKenzie worked with a $350 million maintenance, repair and overhaul operation based in the Southeastern U.S. and assisted in the development of a turnaround plan and negotiated with creditors and shareholders.
Conway MacKenzie provided a viability assessment to the company’s senior lender and minority equity funds (hedge fund investors).
The majority shareholder invested an additional $25 million.
Specializing in the manufacturing of Fiber Reinforced Structures, the company is a supplier to both the U.S. Government and major aerospace companies.
Conway MacKenzie was retained to assess and control its circumstances, including analysis of the plans to keep its senior lender revolving the credit, actions to improve operating performance, and, ultimately, a case that would support assistance from the customers.
Conway MacKenzie, along with company management, executed a comprehensive plan to turn around operations that included reduction of operational costs and garnering enough cash to support near term operating needs. Conway MacKenzie’s actions resulted in securing one-time cost reimbursements and ongoing increased part pricing. The result was extremely successful: $2.5 million annual increase or over a 20% improvement and the company’s enterprise value increased over $40 million.