CASE STUDIES

We have worked with sole proprietors, startups, and everything up to SEC-reporting companies and the bulk of our projects have been with S-Corp privately held shareholders and their management teams. We take pride in the fact that regardless of our client’s size we are going to recommend and tailor advisory and growth options that are uniquely based to their resources, capitalization, leverage, and executive management capabilities.

M&A Buy-Side M&A Sell-Side Value/Growth Advisory

10 million +

Industry: Oil, Gas, and Pipeline Support
Our Role: Sell-Side Engagement as Key Financial Advisor

Value: $473,000,000 stock sale

Situation: The client, a family holding company with billion dollar revenue, had a large number of operating companies and assets that were held globally. They were selling to a worldwide company who reported to the SEC as part of the public company reporting and disclosures.

Results: Asset Stream, lead by Bob, played a key role in analyzing, structuring, and negotiating the $473 million dollar sale of stock for a major pipeline and construction company to CH2M Hill. We were part of the team that took the sale from Letter of Intent to closing in just five short months. Our responsibilities included the primary responsibility for UCC/debt filing, working capital adjustments, complex purchase price adjustments and financial valuations. Subsequently, Bob served as a Contract CFO Adviser for the CEO and represented the family shareholders in a long-term strategic role. The goal was to take the companies and assets involved and convert them to cash when the market conditions were ripe.

Industry: Department of Defense (DoD) Federal Contract
Our Role: Lead on a C-level Strategic Bidding Proposal

Value: $2 Billion Dollars and a 50-year contract

Situation: The DoD was accepting proposals to privatize Alaska military bases under a 50-year maintenance/upgrade contract. This highly complex, $2 billion dollar proposal would require a fixed fee (FAR’s) contract. Therefore, our team had to make thousands of educated assumptions to be able to accurately calculate a 50-year present value calculation. We had to accurately account for operating, maintaining, and providing all capital investments to operate nine military locations in Alaska. Some of our significant challenges included estimating useful lives of thousands of assets not capable of being observed in their existing conditions and then estimating replacement periods and future capital calls.

Results: Our team developed an ongoing Q&A document which evaluated some of the most critical material contract aspects. This way we could understand the commercial merits and risks of the contracts ensuring our client would never be “chasing cash” and would see a solid return on investment throughout the contract’s life.

Industry: Economic Development Group with an emphasis on seafood and seafood processing
Our Role: Bob contracted as the CFO for four years

Value: $100 Million

Situation: Our client was a high growth non-profit seeking a CFO from a KPMG US LLC referral. During Bob’s time there, he managed the financial department and reported directly to the CEO.

Outcome: Bob was a key player in the very high organic and inorganic growth of the organization. He created numerous feasibility studies and strategic plans of operation as well as developing a proprietary price per pound species analysis. Additionally, he led IT acquisition efforts and implemented Great Plains Software.

Under Bob’s financial guidance the company reported balance sheet growth from $10million to $100million in four years. The profit and loss showed an excess of $10 million annually. He was part of $50 million dollars worth of acquisitions and dozens of joint ventures. KPMG’s audits came back clean with no adjustments required. Bob was also responsible for delivering all quarterly financial reports to each of the 15 board of director members.

Industry: Oil & Gas, SEC publicly traded
Our Role: Value/Growth Advisor

Value: Evaluating (analyzing competitiveness) of middle market companies with annual revenues ranging $10-$50 million.

Situation/Result: Analyzed the major supply chain vendors providing MRO support to an SEC Oil and Gas company. Our role was to issue a written report scoring the overall competitiveness of the supplier and providing written recommendations throughout all enterprise activities (finance, management, quality, safety, environmental, tools, inventory management, etc.). As the leading consultant met with the suppliers’ key owners and Sr. level executives assessing their business potential, benchmarking each of their activities, and ranking their overall organizational strength. We were quickly requested on behalf of the SEC client to increase our role/participation in the program due to supplier “buy-in” and acceptance of recommended changes which we developed.

Industry: Private Equity Group with diverse holdings including private prisons, land/real estate, royalty, service/maintenance contracts, and more
Roll: Sell-Side Engagement (stocks and assets) Financial and C-Level Advisor

Value: ~ $150,000,000

Situation: We assisted the CEO of several closely held companies, from 2007 to 2016, to liquidate approximately $150 million dollars worth of assets and companies in a number of countries including Barbados, Russia, Canada, and Alaska. We helped time the sales with market conditions to maximize cash flow and achieve highest exit value multiples. During the almost decade of working with this equity group, we successfully navigated diverse and complex situations including forensic auditing, developing and monitoring highly creative and intricate tax and debt agreements, navigating and arbitrating shareholder controversies, and many other financial related activities necessary for managing complicated and international liquidations.

Results: Maximized shareholder benefits over the course of nine years through a diverse collection of operating companies and held assets including commercial buildings, real estate, long-term service contract, royalty agreements and more.

Industry: Hospitality and Information Technology
Roll: Sell-Side Financial Adviser to 49% shareholder

Value: $30,000,000

Situation: This client was an extremely successful Fortune 1,000 company. They had experienced 25% compounded growth rates for five straight years and projections of continued high growth for the next 5-10 years. They had secured sole-source IT contracts with iconic top shelf hotel centers and chains on a global basis. The primary shareholder wanted to sell shares and exit in a position of strength.

Results: We negotiated on behalf of the selling shareholder under a “shootout provision.” We were able to modify the provision during negotiations, which significantly increased the financial outcome for the selling shareholder.

Industry: Risk Management & Financial Services
Role: Value/Growth Advisor 

Situation: Highly specialized financial services organization with $35 million in retained assets had recently lost 25% of their book of business to another competitor.  

Outcome: Maintained a database of insurance claims in excess of 10,000 and assisted working with the management team and actuaries in devising different pricing strategies and services while being able to not only maintain capital and equity target margins but introducing new business services to prevent further predatory pricing and gaining longstanding insurer loyalty.

$10 million and Under

Industry: Office Management Systems
Our Role: Operational Review & Heading Up Sole-Source Bid

Value: Multimillion

Situation: We were hired by the owners of a closely held, lower middle market Alaskan business to evaluate cash flow processes, gross profit elements, and to quarterback a multi-million dollar sole source bid with British Petroleum.

Outcome: We worked with the client to develop a business plan to secure core vendor status for the contract with BP. This led to the development of a marketing proposal that ranked #2 out of 170 bids. We improved treasury management processes and helped raise gross profit margins by 4% and increased cash flows by $120,000 per year.

Industry: Risk Management/Insurance Agency
Role: Buy Side Financial Advisor

Situation: Upper middle market financial services seeking to expand into strategically adding risk management operations.

Outcome: Assisted CEO and his team at Bank supporting the acquisition and its terms of a profitable local insurance agency. Provided fairness opinion report along with acquisition structure, risk, and financial modeling, of insurance agency target to Bank’s Board of Directors.

Industry: Private Physician Practice
Role: Value/Growth Advisor

Situation: Retained as primary business/financial advisor.  The primary physician needed to split from another physician and establish his own practice.

Work: Our work began with first completing a physician enterprise valuation as the practice was splitting between the primary physicians.  Afterward, engaged by the remaining doctor to become the practice’s main financial/operational adviser.  As part of our ongoing relationship with the client, we file all corporate and shareholder federal taxes and facilitate anything operationally and financially ensuring the practice is running smoothly for all concerned and that the physicians invest nearly all their time on patient work.

Results: We have had a positive, ongoing, 12-year relationship, which has resulted in a successful and stable medical practice. Our success is shown in the expanded lines of care, the additions of stable contractors and employees, and expanding into non-medical business investments including building ownership. During the last 12 years, we have had 100% compliance without exceptions in regards to all regulatory, business, occupational licenses, IRS matters, audits, etc. Our team has partnered with this business as their business/financial adviser from start-up to maturity and now back to the growth stage of adding physicians and new branches of care.

Industry: Private Equity Group with holdings in operations including mandated testing/calibration, oil/gas support, and crane support.
Rolls: Sell-Side Financial Advisor and C-Level Advisor

Value: 400% – 500% FMV increases (both valuation and shareholder total benefits)

Situation: We represented one of the four shareholders of a family of both various operating companies and real estate. For four years before we worked with them, the companies struggled with significantly sub-par performance. We were hired to represent one of the shareholder’s interests in the four companies and indirectly by all of the shareholders to help construct “a way to move forward.”  We gathered support from the shareholders and quickly moved forward to help each brother negotiate ownership relinquishment as best suited to their prior invested capital, management, and interests.

Outcome:  We provided CEO/CFO support to thoroughly examine all aspects of key valuation drivers. We were told by shareholders “too bad Bob wasn’t with us, in the beginning, to overcome these issues earlier.” Within a couple years, Bob led operational changes which if the enterprises had been ready to go to market would have resulted in ~ 400-500% increases in value and total shareholder benefits.

*Asset Stream Advisers can not offer a future guaranty of results as every factual pattern and matter is different.

*** Projects not listed are monthly retainer clients (these are very long-term assignments) where the client has engaged us to either supervise their financial department and/or perform most of their financial management functions.  Smaller sized companies can affordably align with us as their small business advocate.

Asset Stream P: (907)770-3772

Investment Banking Services involving securities offered through Burch & Company, Inc., a broker-dealer, Member FINRA/SIPC and located at 4151 N. Mulberry Drive, Suite 235, Kansas City, MO. 64116. Asset Stream Advisers and Burch & Co. are unaffiliated entities. Any testimonials and case studies presented do not guarantee future performance or success.