Introduction
Few industries in the U.S. have been more adversely impacted by the economic downturn than Construction & Engineering (“C&E”). The collapse of the housing market in...
Overview
We are now two years into a strong bullish cycle fueled by pent-up demand for deals, accommodative senior lenders, and a return to normalized earnings levels. Given the following factors, our outlook for 2012 remains...
Middle market businesses often overlook MBOs as viable liquidity alternatives. However, for certain industries, businesses, and capital structures, an MBO may represent the best option for maximizing shareholder value, ensuring business continuity, and creating investment opportunities for management.
...Industry Overview
The global aerospace industry can broadly be categorized into two sectors. The commercial aerospace sector consists of companies that produce large commercial aircraft, regional aircraft, light aircraft (such as helicopters and business jets), aircraft engines, parts and auxiliary equipment, and commercial satellites. Dominated by Boeing in the...
Shareholder disputes involving valuation issues often arise upon the execution of “triggering events” such as the death, retirement, or disablement of a shareholder.1 Too often, shareholders’ agreements, although designed to mitigate or avoid disputes, contain faulty, incomplete, or contradictory language concerning valuation, which serves to create or...
Business owners are unlikely to talk about it. And few cases are reported publicly. But ask any lawyer or investment banker who represents middle market companies, and you are likely to find plenty of anecdotal evidence: Many business owners do a poor job of protecting their intellectual property. And while some may do so...
Regulatory reforms in the past several years are expected to dramatically affect the delivery of healthcare services in the U.S. These reforms provide incentives to promote the coordination of care among healthcare providers through the development of accountable care organizations (“ACOs”) as well as encourage the increased usage of information technology (“IT”)...
Mergers and Acquisitions
The concept of personal goodwill from an income tax planning perspective has been the source of controversy with the Internal Revenue Service for well over a decade, since the seminal Martin Ice Cream and Norwalk cases were decided in 1998, with favorable outcomes for the taxpayers...
There comes a time for every business when ownership changes hands, whether through transition to the next generation or an outright sale to a strategic or financial buyer. In the latter case, every owner – whether it is a founder hoping to cash out or a private equity firm seeking attractive returns for its investors – wants to obtain the best...
Overview
The food industry represents a broad category that covers a range of sub-sectors throughout the vertical supply chain, from growers and processors to distributors and retailers. Similar to the overall market, companies operating within the food industry were not immune to the...
Market Activity There was a strong finish in the 2010 M&A market with the highest monthly transaction volume, $69.2 million, and highest number of transactions, 856. For all of 2010, transaction volume for deals between $1 million and $500 million was approximately $689.6 million for 9,073 deals versus $565.5 million for 7,018...
The last few years have been a very difficult time for middle market businesses. The general U.S. economic situation has affected many companies’ ability to generate revenues and run their business operations. During the height of the recession, most capital markets were “locked up” making it difficult and in some cases...
Medical device and equipment manufacturers have faced their share of challenges over the last several years. Healthcare reform, increased regulatory scrutiny, reduced hospital budgets, tight credit markets, and a sluggish economy have all negatively impacted the valuations of companies in the $300 billion global industry....
In the last several years, the state of the credit markets and the availability of credit have been volatile and extreme. Loose underwriting standards and cheap credit led to record activity for mergers and acquisitions (M&A) and leveraged buyouts (LBO) in terms of both price and volume in 2006 and 2007. Beginning in 2008...
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