This Toronto-based building automation system installation contractor and energy performance contracting consultant had lost money for several quarters and was operating under a forbearance agreement.
The lender agreed to forbear only if a turnaround consultant was retained; this effort failed. The lender extended the forbearance agreement provided Equity Partners was retained and the company’s CFO took on the charge of holding the company together until it could be recapitalized.
Equity Partners was retained and had 69 companies from throughout North America execute confidentiality agreements and evaluate the company.
The process resulted in a sale of the assets to a much larger company, the existing lender funded the transaction, operations continue, and all of the employees were retained.