One successful sale handled by bankers from PLG Advisory Group involved a company that published trade magazines, and was owned and operated by the founder. After more than a dozen years of operating the business, the owner was anxious to sell the existing business in order to start a new venture. He retained two independent business valuation experts who provided a price range using a variety of valuation techniques.

PLG Advisory Group's investment bankers conducted our own due diligence and determined that the original valuators had drastically undervalued the company's brand awareness and related goodwill value. In fact, we believed that the business was worth a minimum of 200% more than the valuators had determined.

Accordingly, we focused on strategic buyers who could utilize our client's brands and goodwill to leverage their other products and services into our client's industry.

We researched the market and identified a pool of strategic buyers; assisted the client with due diligence preparation; contacted, met with and screened potential buyers; and managed the process so that all of the candidates received the same information within the same time frame.

We conducted an open bidding system that resulted in a purchase price equal to 333% of the average price suggested by the business valuators, and a structure that resulted in favorable tax consequences for our client.

Moreover, due to our extensive preparation and project management, the transaction closed 23 days after acceptance of the offer.

back