The Buyer was a $40M sheet-fed commercial printer, with mailing and fulfillment operations based in the Midwest.

Target was a commercial printer with binding and other full-service offerings with revenue of approximately $19M.

Target was distressed and experiencing tight liquidity and the Buyer wanted assistance on defining the terms of the transaction and performing financial due diligence.

Fort Dearborn advised management through all aspects of the acquisition, including:

–  Providing precision to the valuation range;

–  Identifying potential synergies;

–  Developing integration plans;

–  Identifying risks such as employee matters, post-transaction expectations with management, loss of customers, risk of margin loss, etc.;

–  Proposing appropriate deal structure to achieve both the Target's and Buyer’s objectives;

–  Evaluating the capital requirements to integrate Target’s operations;

–  Preparing the initial letter of intent (LOI) and advising management on the terms of the asset purchase agreement (APA); and

–  Providing other due diligence services, such as detailed inventory and work-in-process review to assist with on-boarding customers seamlessly.

The Buyer purchased the Target and onboarded the seller’s operations into their facility, retaining the entire sales force post-close.

The transaction was a success, as the additional sales force helped the Buyer leverage their manufacturing asset base further while diversifying the customer base and bringing additional capabilities to the organization.