Acquisition of Textile Company with Management Challenges
About the Client
A medium-sized textile manufacturing company facing management challenges.
Challenges
Absence of succession planning, leading to operational disruptions and uncertainty among stakeholders.
Deal Objective
To facilitate the acquisition of the Company by a strategic investor to address the critical issue of management succession, stabilize operations, and ensure the Company's continuity in the textile industry.
Background
Considering our Client’s established brand reputation, manufacturing capabilities, and market presence, WCSPL conducted an extensive assessment and initiated a search for strategic investors, private equity firms, or industry players.
Westlab facilitated negotiation terms between our client and the potential investor to determine the purchase price, deal structure, and form of consideration.
The acquisition deal was structured with a significant portion of the consideration comprised of equity in the acquiring entity, providing our clients’ existing shareholders with an opportunity to participate in the future growth and success of the combined entity.