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A proven ability to provide quick and value-added results.

Partner with Ohana Capital.

2010 transactions

Industry:

Service – transport company

Context:

  • Business acquisition transaction, current owner and founder is retiring and wishes to sell his business.
  • Located in Saint-Eustache, QC with «Bombardier» as the main client.
  • Ohana Capital was mandated by the buyer, former general manager of a competitor.

Financing obtained:

  • Conventional line of credit of a higher amount used to reimburse the existing costly factoring line of credit with an asset-based-lender. (Non-bank ABL)
  • Bridge loan from a private lender used to refinance the existing long term debt at a higher amount. The additional amount provided was used to purchase the business.

Industry:

Manufacturer – designer t-shirts and other fashion clothing for men and women

Context:

  • Steady revenue growth since the creation of the company in 2003.
  • Company’s client base mainly in Canada and in the United States so far but distributing agreements recently signed with distributors in Germany and Austria.
  • Extra financing is needed to support the continued sales increase.

Financing obtained:

  • Operating line of credit more than twice as important to finance the accounts receivables and inventory, thus, providing the additional funds required.

Industry:

Manufacturer – hats & caps

Context:

  • Company in operation since 1955.
  • Client base across Canada up until 2009. The «China» factor has caused most remaining North American hat manufacturers to close shop or move their production overseas.
  • As a result, company experiencing strong demand from US retailers and distributors since the beginning of 2010 and additional financing is required to respond to the demand from this new market.

Financing obtained:

  • Two (2) working capital loans from different specialized non-bank lenders permitting:
    1- The purchase of raw material required to fulfill orders on hand mainly from US clients;
    2- This manufacturer to pursue his sales, marketing and other business development efforts as needed to succeed in this new potentially lucrative market.

Industry:

Service – event & party equipment rental

Context:

  • Company recently moved to bigger premises and non-recurring moving related expenses were paid out of the company’s cash flow.
  • Funds are required to bring back the company’s working capital ratio above acceptable levels and alleviate the pressure off the payables.

Financing obtained:

  • Working capital loan, including a 6-year amortization and 12-month capital postponement period, replenishing client’s working capital. As a result, better conditions on the existing line of credit negotiated.

Industry:

Healthcare – private dental clinic

Context:

  • Dentist with 15+ years of professional experience and a client base of +7,000 patients is moving to a more spacious new clinic.
  • Financing is required to finance the purchase of new dental and other office equipment, leasehold improvements and to provide for extra working capital specially for the first few months after the move is completed.

Financing obtained:

  • Leasing contract permitting a financing of 100% (including taxes) of all capital expenditures (CAPEX) required, same including a 7-year amortization and a 6-month capital postponement period.
  • Line of credit amounting to 25% of the dentist’s historical annual revenues providing the start-up capital required.

Industry:

Service / Tourism – travel agencies
 

Context:

  • The owner of 5 travel agencies located in the West Island and in the city of Laval is looking to expand his operations via acquisitions.
  • A purchase agreement recently signed to acquire 2 additional travel agencies located in the South Shore of Montreal.
  • Although the seller has agreed to extend a «balance of sale» and the buyer has available funds, a financing portion is required to complete the acquisition.

Financing obtained:

  • Cash flow loan from a specialized lender providing the remaining funds to complete the purchase.

Industry:

Manufacturer – sportswear for men and women

Context:

  • In existence for +15 years with a history of good profitability.
  • Client base comprised of Canadian retailers located in strategic touristic locations.
  • Client considers that the strength of his company’s balance sheet is deserving of an overall more advantageous financing package than the one currently in place with his bank.
  • Ohana Capital was mandated to approach other lenders with the aim of finding a more suitable financial partner.

Financing obtained:

  • New financing agreement on the operating line of credit secured which included a lower overall pricing structure, an advantageous guarantee package and flexible reporting conditions.

Industry:

Manufacturer – kitchen & custom cabinetry

Context:

  • In business since 2000 with customers across Canada (80%) and the USA. (20%)
  • Strong competition, both domestic and overseas, has caused a reduction in the company’s gross margins and sales.

Financing obtained:

  • A refinancing of the existing long term debt, lowering the monthly capital and interest payments by 30%, has helped ameliorate company’s cash flow.
  • New equipment loan facility to finance the purchase of modern equipment as identified as a means to improve plant efficiency and cut salaries.

Industry:

Manufacturer & distributor – high precision machine tools and fabricating equipment

Context:

  • Second generation company in existence since 1950.
  • Client base comprised of large multinationals and governments including: General Electric (GE), Allied Chemicals, Canadian Armed Forces, Canadian Pacific (CP), DuPont, Kodak, General Motors (GM), Ford, Proctor & Gamble (P&G) and the U.S. Navy.
  • New contract with the US Government requiring the acquisition of 3 new pieces of machinery.

Financing obtained:

  • Leasing contract permitting an advance rate of 100% (including taxes) of the purchase price of all new equipment needed.

Industry:

Service – repair of specialized medical equipment

Context:

  • Since 2002, this company serves a customer base in the health sector comprised of hospitals, medical clinics and healthcare professionals.
  • Sales growth the past 4 years is expected to continue with increasing demand from the Ontario market.
  • New «product development project», in partnership with an important hospital grouping in Montreal, financed by the company’s operating line of credit.
  • Company benefits from very strong support from its main supplier but additional funds are nonetheless required pending sales to be generated once «development project» is completed within the next 12 months.

Financing obtained:

  • Working capital loan from a specialized lender providing the necessary funds and, therefore, alleviating the pressure off the line of credit.

Industry:

Manufacturer – nutraceutical and pharmaceutical film and edible gels

Context:

  • Business acquisition transaction;
  • Division of a publicly traded pharmaceutical company for sale by the parent company for strategic reasons;
  • Ohana Capital was mandated by the former executives interested in an «asset purchase».
Consulting mandate:
  • Drafted an «Executive Summary»;
  • Reviewed and amended the existing financial projections post-acquisition;
  • Takeover of existing discussions with various potential lenders;
  • Negotiated with other identified prospective financial partners.

Industry:

Hospitality – Inn

Context:

  • Business acquisition transaction;
  • Current owner ill over the past few years and same affecting the performance of this well known inn built in the 1800’s and located 45 minutes west of Montreal;
  • Ohana Capital was mandated by a potential buyer with a signed purchase agreement.

Consulting mandate:

  • Reviewed and amended the existing business plan and financial projections;
  • Drafted an «Executive Summary»;
  • Advised potential investor on the viability of this investment project.

Industry:

Wholesaler – sanitary products

Context:

  • Management buyout transaction;
  • Current owner and founder is retiring and wishes to sell his company, a major player in the Canadian market with an established distribution network;
  • Ohana Capital was mandated by the current Vice-president and general manager.
Consulting mandate:
  • Completed a detailed «Business Plan»;
  • Reviewed and amended the existing financial projections post-transaction;
  • Negotiated with identified potential lenders and presented preliminary financing propositions / term sheets to the potential buyer;