CASE STUDY: How an Independent Equity Sponsor Partnered With a CEO to Acquire His Company

THE SITUATION

Shortly after the CEO joined the company, there was a cyclical downturn that significantly impaired the business’s financial performance. Five years later, after the CEO implemented a series of successful cost cutting measures and strategic initiatives, the business recovered and the private equity ownership group decided to sell the company.

THE OPPORTUNITY

Partner with the CEO and executive management team to acquire the company.

THE CHALLENGE

Competing in an auction process against other buyers with committed capital and overcoming investor concerns related to the business’s cyclicality risk.

THE SOLUTION

StoneCreek Capital was able to demonstrate that the resiliency of the CEO’s business model significantly mitigated the risk of a cyclical downturn and successfully raised the financing to complete the acquisition.

For more information, contact:

Bruce Lipian
Founding Principal + Managing Director
StoneCreek Capital

StoneCreek Capital is an independent private equity sponsor based in Orange County, California. StoneCreek focuses on acquiring companies with enterprise values of $10 million to $100 million in a variety of industry sectors. Founded in 1992, StoneCreek has sponsored the acquisition or recapitalization of more than 40 companies.

StoneCreek has distinguished itself with its unique approach to partnering with exceptional executives, proven ability to secure financing, and well-established credibility with deal referral sources.