TriVista Identifies $10M EBITDA and Working Capital Improvements for Private Equity Firm

The Challenge

A $700M Private Equity fund was interested in acquiring a $100M industrial components manufacturer with a U.S. and Greater China footprint. TriVista was retained to provide Quality of Operations™ Due Diligence support to assess the business’ supply chain operations and determine potential savings.

Our Approach

• Mobilize multiple project teams in several regions to work concurrently
• Daily communication with investors highlighted critical risks that could stop the transaction
• Assessed sales, operations and inventory planning processes
• Conducted benchmark assessments of company’s production facilities
• Conducted detailed data room analysis to assess inventory, logistics and transportation costs and labor productivity
• Conducted extensive interviews with company leadership
• Identified operational redundancies and post-close improvement opportunities

The Results

• Identified EBITDA expansion opportunities of $2.5M
• Identified Working Capital Improvement opportunities of $7.5M
• Retained by client, post-close, to implement improvement opportunities and realize cost savings
• Performed additional Quality of Operations™ Due Diligence engagements for bolt-on acquisitions