TriVista Provides Quality of Operations™ Due Diligence Support to Private Equity Firm Acquiring $100 M Building Products Company

The Challenge

A private equity firm was looking to acquire an OEM supplier of bathroom accessories for residential and commercial construction and remodeling markets. TriVista was retained to provide Quality of Operations™ Due Diligence support to assess the business, and understand EBITDA and working capital improvements in the business to enhance enterprise value.

Our Approach

• A site visit to the company’s HQ and primary manufacturing operation
• An evaluation of the company’s transportation costs and service levels
• An assessment of savings opportunities resulting from consolidating the company’s footprint, optimizing manufacturing and transportation, improving sourcing and procurement practices, and reducing spend related to scrap material

The Results

• TriVista was able to identify approximately $6M of EBITDA expansion opportunities at the target company by consolidating branch locations, outsourcing long haul full-trailer load transportation, reducing raw material scrap and improving operational execution at the main manufacturing facility, and as well as sourcing and procurement practices
• In addition, TriVista was also able to identify over $2.2M of cash improvements through improved inventory management and increased turn