Commercial and Industrial Ventilation Systems (Market Visioning, Market Entry, M & A's)
Our client is a $15 million manufacturer of ventilation systems, offering sophisticated ventilation systems from it´s technologically advanced manufacturing facilities in the UK.
An evaluation by us of the French and Spanish markets determined that our client's products were not price competitive. We identified a strategic partner that was the market leader in a number of important classes of ventilation system and proposed an $15 million acquisition that was entirely locally financed. This provided an annual contribution of $2 million through: A lower cost of ventilation systems of a type sold by the parent which provided improved margins for the parent at a stroke. Expanded production for the company acquired through parent company purchases, resulting in reduced costs and increased profitability. Leverage of parent company sophisticated, high-priced systems with existing customers of the company acquired. Local stock of parent company products and immediate sale of parent company systems through a proven sales organization.