Sympheron combines the experience of its M&A and restructuring professionals in advising either buyers or sellers of distressed assets and/or companies. Sympheron is able to advise a client throughout the entire process, including identification of targets/buyers, participation in a sales process and court proceedings, if necessary. We look to identify creative tactical or strategic solutions to unlock value in every situation. We recognize that executing M&A in distressed situations requires incremental skills that are not always required within traditional M&A transactions. Some of these skills are working with a highly levered acquiror or target, managing the bankruptcy process, performing a valuation that can withstand court scrutiny and managing inherent conflicts of interest among different constituencies.
Distressed M&A candidates typically face many of the following challenges:
- Declining operating performance and cash flow
- Rapidly changing industry conditions
- Potential loss of key management
- Stretched payables
- Total debt exceeding enterprise value
- Significant liquidity constraints
- Covenant and/or payment defaults on debt instruments
- Conflicts between the various constituents that hold competing claims or interests
- Senior lenders restricting access to capital
- Limited access to new capital
- Commencement or threat of bankruptcy proceedings
To have a distressed mergers & acquisitions specialist contact you,