Providing Sell-Side Transaction Services and Bankruptcy Support for a Healthcare Provider
Challenge
A national provider of healthcare equipment and services had been in the marketing process to be sold by an investment bank to repay its existing debt. Its rental assets were not generating enough revenue and profit continued to shrink each month. With the overall outlook for the medical equipment rental market unclear, potential buyers were skeptical regarding the company’s forecast of significant rental growth. Alternatives for reducing the company’s debt burden became limited after buyers declined to make offers.The provider exited bankruptcy after a short 45-day period with a significantly reduced debt load and an achievable and realistic plan to meet its forecasts.
How we helped
Our team was engaged to support the company through the investment banking sale process. We provided the company and potential bidders with analyses on asset utilization and other key metrics that are central to equipment rental businesses. We collaborated with management to develop and report on liquidity by preparing 13-week cash flow forecasts and developing multiple versions of KPI analyses to provide a clearer picture of the company’s operations and business performance. As a result of this due diligence and working together with the company’s legal and investment banking advisors, board of directors and management team, the parties determined it was in the company’s best interest to effect a change of control transaction through a Chapter 11 bankruptcy proceeding.
We guided management through the bankruptcy process and managed all critical vendors and related payments to ensure no trade vendors or unsecured creditors were impaired. Additionally, we prepared and submitted financial schedules and key pleadings to the company’s legal counsel while providing required weekly and monthly compliance reporting to debtor-in-possession (DIP) lenders and the US Trustee’s Office.
Results
The company exited bankruptcy after a short 45-day period with a significantly reduced debt load, new owners, fresh liquidity, and an achievable and realistic plan to meet its financial forecasts and business goals.
Ready to Connect?
Our experienced professionals provide critical support during periods of transition, from operating the accounting function to designing the future state and managing the cutover. Contact us to learn more.
SUCCESS STORIES
Using AI to Overhaul Customer Support for a $9B HR Platform—Without Scaling Headcount
An integrated solution ensured accurate revenue tracking and seamless synchronization between a global organization’s CRM and ERP systems.
From 15 Days to 4 Minutes: Inside an AI Transformation for a Global Energy Storage Leader
An integrated solution ensured accurate revenue tracking and seamless synchronization between a global organization’s CRM and ERP systems.
Implementing an AI-Enabled Intelligent Manufacturing Solution for a Tier-1 Automotive Supplier
With a strong corporate structure, processes, and systems in place, Novaria was able to continue with its aggressive M&A strategy and later a successful acquisition by a global private equity sponsor.
Transforming Retail Finance with OneStream During $9B Catalyst Brands Formation
As JCPenney evolved into Catalyst Brands, a $9B+ retail platform spanning six iconic brands, finance operations were unified on OneStream to enable automated consolidation, enhanced reporting visibility, and a scalable foundation for continued transformation.
Elevating a Cryptocurrency Company’s Finance Function by Completing a $372M De-SPAC
Riveron guided a cryptocurrency financial services company through a $372M de-SPAC IPO, delivering SEC-compliant reporting, complex valuations, and audit readiness—transforming a never-audited business into a public company in nine months.
Contact us
Continue the conversation. Reach out to Riveron’s team of professionals to explore how we can provide the clarity and insight to solve your organization’s most pressing challenges.
