Kingsgate’s expertise was required to lead the financial and operational turnaround of a £50m loss-making supply-chain division with a view to then disposing of the profitable business.
Kingsgate were engaged by a listed international technology business which had a subsidiary selling refurbished parts
Kingsgate’s expertise was required to lead the financial and operational turnaround of a £50m loss-making supply-chain division with a view to then disposing of the profitable business
At the time of our appointment, the division was heavily loss making
Approach and outcome
Kingsgate worked with Management to create and successfully deliver a cost reduction programme which improved profit to 4% EBITDA and bottom-line break-even.
Following the delivery of a sustainable profit-base, we worked alongside Management to initiate and then run a competitive M&A process involving:
Marketing the business to various trade buyers
Creating a full memorandum of sale
Negotiation with trade buyers
The disposal of the division was successfully completed in 2013.
Following this successful result, Kingsgate were re-engaged to lead the financial turnaround of a second division, a £150m business in its own right which sold electronic products in 10 countries across Europe.
Kingsgate developed and implemented a cost reduction and productivity plan to deliver 5% EBITDA. This project was successfully concluded in 2014.
We are a turnaround, transformation and transition business working in challenged or failing organisations who understand how to improve results in difficult environments. We both design and deliver solutions in all stages of turnaround and challenged situations.