CASE STUDY // HEALTHCARE COMPANY
Situation Analysis
The owners of an extremely successful healthcare business disagreed on how fast to grow, which created a need to review strategic options.
Find
- Solid brand name and 30+ year history
- Good business model and track record
- Good professional management team
- Solid growth performance, but low margins
- The company was focused on more segments than its competitors
- While they had a regular forecasting process, they rarely made budget
Build
- Reaffirmed that a sale of the business was the best option to achieve their individual risk preferences and financial objectives
- Developed a break up strategy for the sale process to unlock value and maximize the sale proceeds
- Organized a segment analysis to highlight the sale process
- Created a multi-year growth plan for each segment
- “Seasoned” each segment’s growth plan
- Expanded the financial staff to prepare for the transaction
Capture
Successfully sold all four segments over 7 to 8 years and the owners achieved their individual personal and financial objectives.