American Insulated Panel

04 Jan American Insulated Panel

Taunton, MA
Sold To: AMS Partnership

What made the business attractive to buyers?

• The Company is the largest insulated panel manufacturers in New England.
• These panels are used to insulate warehouses and large spaces. These panels can also be used to create industrial size freezers, refrigerators, and retail coolers.
• Long track record of growth and profitability.
• Simple to understand business.
• The Team – The company had a strong group behind the owner in manufacturing, sales, installation and office. It was not an owner centric business.

Challenges:

• The Company was perceived to be part of the construction industry as they installed the product, rather than the manufacturing industry even though they manufactured the product.
• Much of the businesses processes were grounded in “old school” approaches which caused some buyers to be cautious about what it would take to modernize.
• Simple to understand business – low levels of IP, however, expensive manufacturing equipment would be a barrier to entry.

Beacon’s Role and Results

Beacon prepared a full CIM outlining the business and its mix of large projects (10%), medium projects (25%) and small projects (65%).

Beacon created a couple of videos showcasing the manufacturing process in order for buyers to understand the process and help them see the business as a manufacturer rather than construction business.

Beacon located an equity group with a strong construction background whose skill set was processes. Immediately understood both the construction side, manufacturing side and the opportunity to modernize the processes.

Why did the owner want to sell?

The owner purchased the business in 2015. Doubled revenues, and wanted to move to Florida now his kids had grown.

For more information on this transaction or other similar business sales contact:

David Humphrey
Beacon Equity Advisors
781.551.8000

Let Beacon sell your company for you.

About Beacon Equity Advisors – Since 1985 Beacon Equity Advisors, a leading New England Merger & Acquisition (M&A) advisory firm with offices in eight key New England cities, including in Boston, MA Providence, RI and Manchester, NH has represented owners selling closely held distribution businesses. Beacon Equity Advisors’ experience selling value add distribution companies enabled them to tell an engaging story about this Boston, MA area distributor in the M&A marketplace. Highlighting key enterprise attributes enhanced the company’s value as Beacon identified prospective buyers who were able to clearly recognize synergistic opportunities. By matching the right buyer with the right seller, shareholders were able to realize an above market value multiple in the sale of their business in a transaction beneficial for both parties. Beacon represented the Board of Directors and Shareholders in identifying the buyer, negotiating deal terms and brokering the transaction.