Closely tied to the struggling North American automotive industry, the Company’s revenues decreased by over 30% over three years.  The Company was in default of its loan covenants, and was expected to run out of cash in less than 60 days. READ MORE...

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Client Success: Forging Operational Improvement

This Company is the premier supplier of large upset forgings in the United States and has a long-standing reputation for high-quality and highly reliable products.  These products are then machined by its customers to create axles, pinions, spindles, and tubes that are used in a variety of heavy-equipment industrial applications such as:  harvesting equipment, earth-movers, vehicles, forklifts, and many others.

A slowdown in business due to weakened demand for domestic steel forgings had changed the Company’s business.  Instead of committing to high volume runs as they had in the past, customers were requiring lower volume runs and a higher variety of products.  The Company realized its relatively long setup times severely limited its ability to meet customers’ changing demands in a cost effective manner. READ MORE...

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Client Success: Seamless Operating Continuity in a Cross-Border Deal Situation

This Canadian-based Keystone client is one of the leading global producers of steel plate, coil and tubular products.  Historically, its primary customer base was the automotive industry from OEM’s through Tier 3 suppliers.  It has operations in Canada, the US, and Mexico.

The Company was given an opportunity to acquire a competitor that would expand its automotive footprint and help it diversify into other industrial markets. While the deal was a solid strategic fit, the Company’s track record with acquisitions was spotty.  Main reasons cited were lack of experience and issues in diligence, Day 1 planning and focused, post-close execution. READ MORE...