Stabilisation & Restructuring
Profile
Tier 1 Automotive Manufacturing Supplier
Employees: 240
Turnover: £15m
Location: Coventry UK
The Business Challenge
The business was in severe financial distress. The business had become over-leveraged following a difficult product launch. Investment was required to deliver a further 40% increase in production capacity, whilst ensuring a sustainable cost base could be achieved.
Kelly Jones, Turnaround & Transformation Director Kelly’s Bio
How We Helped
Kingsgate’s Head of Private Sector, Kelly Jones, took the role of CRO in a Tier 1 automotive supplier, manufacturing polished stainless steel exterior trim for luxury automotive OEM’s in the UK.
Achieved stability through daily cash management of severe liquidity shortage. Communicated critical situational updates to stakeholders
Delivered a solvent restructuring, whilst maintaining 100% OTIF delivery to requirements. Secured a buyer for the business to provide the investment required to meet coexisting demands of customers and creditors
Delivered a seamless transition to the new shareholder’s team, whilst simultaneously supporting the recovery of a 3-month product launch commitment
Appointed by the new shareholder to develop the implementation plan for the cost reduction and operational improvements, establishing processes and pragmatic ways of working to address fundamental operational gaps
Recruited and managed external consultants, ensuring sufficient resource to maintain pace on improvement workstreams
Improved internal communication to overcome functional silos at all levels of the organisation, to ensure the internal team was working to one common plan
Results
Restructured debts, in conjunction with operational improvements to ensure short-term liquidity
Provided new investor with diagnostic insight to execute effective acquisition and leadership to accelerate implementation of restructuring plan
Established foundations of a sustainable cost base for the new executive team to continue building long-term success
For reasons of client confidentiality, a reference is available by direct contact: Maximilian Funk, Partner, Valetis Gmbh; Dusseldorf, Germany; +49 172 899 7390; mfunk@valetis.de.
