Pipe and Tank Manufacturer
Industry:Manufacturing & Processing
Company:Pipe and Tank Manufacturer
The Company manufactured pipe, tank and other products designed for use in highly corrosive, structurally demanding applications including the oil & gas, petrochemical, water treatment and other end-user markets.
As a result of market pressures and a significant decline in revenues, Focus was retained to analyze operations, develop liquidity projections and negotiate changes to the senior debt structure.
- Developed Key Performance Indicators for operating metrics such as labor costs, material yields and machine setup times.
- Constructed detailed liquidity and financial projections based on testing key assumptions related to sales pipeline activity and expense run rates.
- Developed breakeven analyses for various product lines and a slow-moving inventory analysis.
- Focus worked with the senior lender to adjust financial covenants, normalize borrowing formulas, and negotiate terms of forbearance.
- Focus’ plan was then utilized to successfully identify a buyer for one of the divisions.