Overview of Project
Our client was a publicly traded software storage company with minimal revenues and substantial operating losses. The company was in bankruptcy and hired Manchester to find a buyer for its assets. Under tight court deadlines, Manchester’s professionals discovered an industry buyer and recovered $2 million for the company’s shareholders.

The Challenge
The company was in crisis. The entire software storage industry was severely depressed, and the client had suffered significant operating losses, which also resulted in a significant decline in the value of its stock. A major investor was suing the company, which put the company under pressure and was inhibiting the company’s ability to function as an ongoing concern. The company was forced to file Chapter 11 bankruptcy.

The Engagement
The company retained Manchester as a consultant and financial advisor. Our professionals were engaged to sell the business under strict timing deadlines set by the court.

The Solution
In just six weeks, Manchester’s professionals prepared an extensive Offering Memorandum and contacted approximately 350 potential buyers to assess their interest in acquiring the company’s assets. At that point, the court gave Manchester only six more weeks to negotiate with the interested parties and produce a definitive agreement. Our professionals worked closely with several interested buyers, and executed an agreement on the final day with a leading industry buyer. The court approved the transaction two weeks later.

The Impact
Manchester successfully completed the engagement in less than four months, despite the client’s troubled history and the severely depressed state of the software storage industry, and recovered $2 million for the company’s shareholders from the sale of the client’s assets.