DCA Partners - Case Studies

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Below are select examples of how we have confronted difficult situations and delivered optimal results for our clients.

Creative Deal Structure Allows Company to Buy Strategic Asset with No Cash

Client Profile
Public Company

Situation
Company looking to acquire a strategic product line from an R&D Company. The R&D Company was asking $16 million cash for its technology rights. Client did not have sufficient liquidity or meaningful dollars so as to be able to afford this type of transaction structure.

Solution
DCA developed a creative deal structure allowing our client to acquire this strategic technology with approximately $2 million in the Company’s stock and a royalty on future sales.

Result
The deal was completed and the company preserved its cash for product marketing and other strategic priorities.

Growth Counseling Leads to Unprecedented Growth

Client Profile
Private Business Process Outsourcing Company

Situation
Company wanted to raise expansion capital to build its sales and marketing infrastructure.

Solution
In assessing the Company, DCA advised the client that they should NOT raise additional capital, as any equity would be too dilutive to existing shareholders. DCA assisted the Company in hiring new management talent in key areas, improving internal processes and financial controls, developing an improved business strategy, and focusing the client’s limited resources toward key initiatives.

Result
The Company is experiencing unprecedented internal growth, as well as improved earnings and cash flow, all without diluting the current ownership.

Objective and Informed Analysis Helps Company Make Strategic Decisions

Client Profile
Public Company

Situation
The Company was terribly undervalued, and management wanted DCA to help evaluate a variety of alternative strategies for rebuilding its shareholder value. Options included: (i) a rights offering to raise cash, (ii) a PIPE investment offering, (iii) a spin–off of one of the Company’s existing business units, (iv) a strategic acquisition (or a series thereof), or (v) a sale of the business.

Solution
Using our sophisticated database and other Corporate Finance and Market Intelligence tools, DCA was able to provide a detailed and highly–specific analysis of each of the client’s available options. The Company presented this research to its Board of Directors, who made an informed decision as to which course to pursue.

In addition, DCA worked with the Company to develop a clear, concise, and compelling investment summary to report to Wall Street, and also assisted the Company in developing a pro–active investor relations and shareholder communication strategy.

Result
DCA is now in the process of helping this client execute on its recommended strategy, and implement its proactive investor relations plan. Within just the first few months, the stock doubled in value!

Coaching Process Re–energizes Executive

Client Profile
Private Manufacturing Company

Situation
The Business was growing and successful. Despite this, however, the Owner was experiencing burnout and looking to be re–energized and re–directed toward his personal and professional goals.

Solution
DCA put this executive through an accelerated version of its Personal and Professional Goal Setting and Implementation Program. This Program defined the Executive’s core values, priorities, and goals, and then provided a roadmap and checkpoints for accomplishing these personal and professional objectives. By achieving the appropriate balance between personal and professional priorities, both aspects of the executive’s life are improving.

Result
Using DCA’s proprietary Personal and Professional Goal Setting and Implementation Program, DCA was able to improve this Owner’s time management, his direction and focus, his energy level, and his sense of personal and professional satisfaction. He is well on his way toward accomplishing his self–defined, long–term goals.

You Can Sell More Product When Paying For It Is Easy

Client Profile
Manufacturing company with worldwide sales

Situation
The Company made a good product but was selling into an industry that was somewhat depressed. To make matters worse, a strong dollar made everything expensive to their overseas customers.

Solution
DCA assisted the Company in setting up a variety of convenient financing alternatives for its international customers, including financing through the Ex–Im Bank, GE Equipment Finance, and other creative alternatives.

Result
The Company’s international sales are beginning to rebound.