Challenges

  • Cashflow constraints when major customer was placed under liquidation – customer held 70% of Awnings’ debtors’ book.
  • Company placed in liquidation by creditors for non-payments

Outcome

  • Due diligence conducted & new strategy formulated.
  • Creditors settled at 50/100
  • Sourced out additional funding for working capital.
  • Strategic BEE investor and introduced employee share trust to improved BEE rating of the company.
  • The company is operational & continues to grow.

Project Details

  • Client
  • Awnings Tents (Pty) Ltd “Awnings”
  • Sector
  • Light Manufacturing & Textile
  • Intervention
  • Informal Turnaround – Save from liquidation

Challenges

  • Cashflow constraints due to major customer Shoprite paid account over 60 days

Outcome

  • Detailed due diligence conducted & business rescue considered to be the best option.
  • Equity funding raised through IDC.
  • New strategy formulated with focus on small/medium size clients on COD or 30-days account.
  • New milk suppliers were introduced to manage cost spend on milk.
  • Strategic BEE partner was introduced. A farmer based in Free State agreed to supply the required quantities of milk at competitive rates.
  • Business subsequently sold to a competitor when the owner who was the key operator passed away.

Project Details

  • Clients
  • Clarabells Dairy (Pty) Ltd
  • Sector
  • FMCG
  • Intervention
  • Business Rescue

Challenges

  • Lack of funds to keep up with competitive pricing, network speed and coverage which resulted in losing customers to competition.

Outcome

  • Due diligence conducted & exit strategy formulated.
  • Company sold to competition.
  • All creditors settled.

Project Details

  • Clients
  • Iburst (Pty) Ltd
  • Sector
  • Information & Communications Technologies
  • Intervention
  • Informal Restructuring

Challenges

  • Cash constraints as a result of cash embezzlement by management.

Outcome

  • Due diligence conducted & turnaround strategy formulated.
  • Creditors settled at 50/100
  • Additional working capital funding raised from IDC.
  • The company acquired a strategically aligned company to enhance processes and management capabilities and leverage funding was raised to acquire the business.

Project Details

  • Clients
  • Xuma Technologies (Pty) Ltd
  • Sector
  • Information & Communications Technologies
  • Intervention
  • Informal Restructuring

Challenges

  • Company in financial distress

Outcome

  • Due diligence conducted and funding strategy formulated.
  • Due diligence to ascertain the value of business.
  • Assisted the business with business restructuring.
  • Funding package collated and presented to credit committee.
  • Engaged the chairman of the board of directors to negotiate the offer.
  • Filed notice of sale with the JSE.
  • R280m funding raised.
  • Shareholders paid within stipulated time frame.

Project Details

  • Clients
  • Winhold (Pty) Ltd
  • Sector
  • Plastic Manufacturing
  • Intervention
  • Capital Raising and Deal Structuring Advisory

Challenges

  • Company suffered financial losses due to mismanagement.

Outcome

  • Due diligence conducted and turnaround strategy formulated.
  • Stabilised operations, reduced costs and increased production
  • Rebuilt strategic relations with key suppliers and customers.
  • Published business rescue plan successfully implemented.
  • Completed the sale and signed agreements.
  • Smooth handover of business to new owner
  • Ensured compliance to related legal requirements including competition commission approval.
  • Business rescue substantial implementation 31 May 2020.

Project Details

  • Clients
  • SA Ladder (Pty) Ltd
  • Sector
  • Steel Manufacturing
  • Intervention
  • Business rescue

Challenges

  • Suffered massive losses due to a storm and insurance claim repudiated.

Outcome

  • Due diligence conducted & exit strategy formulated.
  • Published business rescue plan successfully implemented.
  • Assets and business revalued and disposed through an auctioneering company.
  • Successful sale and transfer of business as a going concern
  • Managed employees affected by S189 of the Labour Relations Act
  • Successful transfer of remaining employees to new owner.
  • Business rescue substantial implementation 31 May 2020.

Project Details

  • Clients
  • Amathole Berries (Pty) Ltd
  • Sector
  • Agriculture
  • Intervention
  • Business rescue

Challenges

  • Company suffered looses due to policy uncertainty

Outcome

  • Due diligence conducted & exit strategy formulated.
  • Advertised for the sale of business and various potential investors were engaged, no positive
  • Revalued assets and to assess 3 potential offers received on the sale of assets.
  • Business rescue substantial implementation 30 June 2021.

Project Details

  • Clients
  • DCD Wind Towers (Pty) Ltd
  • Sector
  • Renewable Energy
  • Intervention
  • Business Rescue

Challenges

  • Company in financial distress

Outcome

  • Due Diligence conducted and turnaround strategy formulated.
  • Ensured that business was under care and maintained until sale was finalised.
  • Revalued assets and appointed an auctioneering company to dispose the business and assets.
  • Advertised for the sale of business and completed sale transaction and conditions precedent.
  • Successful transfer of business to new owner
  • Facilitated a smooth handover and facilitated to key business stakeholders.
  • Assisting new management with managing ad-hoc challenges
  • Business rescue substantial implementation 31 July 2021.

Project Details

  • Clients
  • EML Engineering (Pty) Ltd
  • Sector
  • Petroleum
  • Intervention
  • Sale of business

Challenges

  • Company in financial distress

Outcome

  • Due diligence conducted & exit strategy formulated.
  • Assets and business revalued and disposed through an auctioneering company.
  • Two auctions conducted which were subsequently declined by creditors.
  • Business sold in private treaty.
  • Drafting and execution of sale in progress
  • Business rescue substantial implementation 31 July 2021.

Project Details

  • Clients
  • Sustainable Fibre Solutions (Pty) Ltd
  • Sector
  • Cannabis and Hemp Industry
  • Intervention
  • Business Rescue - Sale of business as a going concern

Challenges

  • None – new business

Outcome

  • Drafted investment, credit and compliance policies.
  • Drafted due diligence process document.
  • Drafted credit assessment process.
  • Drafted term sheet.
  • Reviewed legal agreements.

Project Details

  • Clients
  • MAIA Capital Partners
  • Sector
  • Financial Services
  • Intervention
  • Consulting work - Credit, Risk & Compliance Advisory Services since November 2020


*References for the above projects are available on request.