Morrison McConnell
Background:
Morrison McConnell was the owner of rights to Van Heusen shirts in the UK, Peter England, Tootal and other iconic brands that had been hit hard by rising competition from TM Lewin and others.
What Vantis Restructuring Services did:
- stemmed cash losses through restructuring the management overhead
- created a base plan which addressed staff training and ordering processes
- negotiated with funders, the US license-holder Van Heusen Corporation and major buying agencies in the UK
Jeff Leadley, CEO, said of the Vantis approach:
“Without the intervention of the Restructuring team at Vantis, we probably would never have reached the position where we could conduct an orderly sale of the business. The team worked tirelessly and offered far more support than expected, as they effectively joined the company for a short time and shared the burden with us.”
North America Bus Industries (NABI)
Background:
NABI had 3,000 employees and operations in Hungary, the US and the UK (where it owned Optare, a leading UK bus builder). The company was listed on the Budapest Stock Exchange. We were introduced by US restructuring advisers who were looking for support in Europe.
What Vantis Restructuring Services did:
- focused on overhead analysis, product profitability, debt restructuring and asset utilisation
- created a regeneration plan, proposing new markets and product configuration
- initiated a cost reduction programme
- led the sale of Optare, NABI’s UK business
NABI was voted International Turnaround of the Year by the Institute for Turnaround (formerly the Society of Turnaround Professionals) in December 2006.
Andras Racz, CEO of NABI, commented of Vantis:
“They have been with us to understand the unique nature of the business. There’s a very large integration between parent and subsidiary, so they spent time with both and made recommendations for various levels of asset sales or asset restructuring as well as operational restructuring.
I believe that Vantis gave us good assistance in initiating the change. We substantially restructured our management staff, simplified levels of management processes and introduced a new business planning system.
To me personally it was very interesting to see the style of the work, how they approached things and the readiness to bring creative ideas.”
Pemco International
Background:
Pemco International is the world’s second largest producer of enamels, headquartered in The Netherlands, with manufacturing sites in Belgium, Italy, Spain, the US and Argentina. We were involved during an acute liquidity crisis and additional finance was being sought in order to restructure.
What Vantis Restructuring Services did:
- helped to broker a transfer of control from the investor to management as a precursor to a longer term restructuring strategy
- managed the short term crisis through strong cash management procedures and significantly improved management reporting
- introduced a Chairman and a local CFO through our Interim Management & Placement Services and our Restructuring Services teams
- subsequent to the initial project, assisted the Board with cash management, budgeting, forecasting and strategy over 7 months, principally in respect of the operations in Alabama and Spain
Refinancing of a manufacturing business
Background:
Our client was a manufacturer based in the UK with turnover of £60m. The business was a private equity investment and had been turned round successfully, generating significant cash flow. However, its lender was Landsbanki and when the bank ran into difficulties a decision was made to refinance.
What Vantis Restructuring Services did:
- acted as adviser on the refinancing with another Asset Based Lender, in the process saving over 1% on the interest margin
- advised on cash management, including liaising with trade credit insurers
- helped devise robust contingency plans to protect against the possible inability of Landsbanki to continue to lend, prior to the refinancing being finalised
Texon
Background:
Texon International plc was a highly leveraged secondary buy- out in the 1990’s, funded by bondholder and bank debt. It was the world’s largest manufacturer of shoe components, with mills and factories across the globe.
What Vantis Restructuring Services did:
- performed a worldwide review of operations in support of the Chairman’s strategy for change
- managed cash and working capital and introduced key management and operations staff
- provided tax and debt advisory services to the Board during the restructuring
Stephen Bracegirdle, CEO of Texon International Group Ltd, said:
“Vantis responded with speed and professionalism. Adrian and his team supported the management in developing a turnaround plan whilst retaining the confidence of the shareholders, banks and major creditors."
Orchestra Group
Background:
Orchestra was a print and fulfillment business, whose services included production and mailout of all UK TV licences. The business formed part of a “buy & build” strategy that had run into trouble.
What Vantis Restructuring Services did:
- steered the restructuring of the group, managing cash over a three-month period and introducing a new Chairman
- arranged for a rapid sale of the London print operations in order to de-gear and reduce losses
Connection Plus
Background:
Connection Plus operated from converted mills in Skipton and Burnley, selling extended warranties for Hewlett Packard systems, direct selling for financial institutions and handling inbound calls for a range of consumer goods businesses. The business lacked robust internal systems and had little prospect of survival.
What Vantis Restructuring Services did:
- provided a Cash Manager and generated emergency headroom while funding options were explored
- helped establish a basis for a the business to be sold, through a pre-pack
Powerhouse Group
Background:
Powerhouse was a retailer of white goods that had struggled with profitability and competition from internet buying.
What Vantis Restructuring Services did:
- completed the refinancing of the group
- advised on trading and identifying the options open to the Directors
Please contact us if you would like to find out more about how we can help you and your business.