Transaction Solutions

 

 

Sequel is dedicated to providing operating, strategic and financial solutions for owners, management teams and other stakeholders of businesses in its focus area.

Through various tax-efficient transaction and operating structures, we are committed to making equity investments, partnering with the management team of businesses in which we invest and playing an active role in building long-term value. Partnering with Sequel enables business owners, management teams and other stakeholders to address important business needs. Among others, these include:


Liquidity for Business Owners


  Sequel sponsors platform and consolidating acquisitions that provide partial or complete liquidity for business owners. This liquidity enables owners to diversify their assets, address estate planning issues, reduce their commitment to the business, and resolve ownership and management succession concerns. In addition, a transaction can be structured so business owners can maintain significant ownership in their business while realizing the majority of the company’s value, provide ownership opportunities to key managers, and if desired, remain active in the operations of the business. We structure transactions and provide equity capital to meet the specific liquidity needs of a business owner.


Recapitalizations


  We sponsor transactions where shareholders seek to recapitalize their business. In circumstances where disputes or divergent shareholder goals exist, a transaction can be structured to purchase the interests of those desiring liquidity, increase the ownership stake of remaining shareholders and capitalize the business to achieve the objectives of the new ownership group. Recapitalizations can also be used by shareholders to obtain partial liquidity, transfer ownership efficiently to the next generation and give key managers the opportunity to participate in equity value appreciation, while at the same time retain meaningful ownership. Sequel structures transactions to minimize ownership dilution and provides equity capital to avoid over-leveraging the business. Our investment could also serve as an objective third party valuation.


Management Led Buy-Outs


  We provide equity capital to support management teams interested in acquiring a business they are currently operating, or one in an industry in which they are familiar. Our transaction, operating and management experience enables Sequel to serve as a unique resource for the management team as they seek to acquire a business, participate in its ownership and create equity value.


Growth Capital

  Sequel provides equity capital to support the growth objectives of business owners and management teams. This capital could be used for geographic expansion, product line extensions, fixed asset additions, strategic acquisitions and consolidation initiatives. Our experience deploying capital assists the management team establish prudent investment and growth objectives.


Acquisition of Divisions, Subsidiaries and Portfolio Companies

  Sequel sponsors acquisitions of subsidiaries/divisions of larger companies and portfolio companies of other private equity firms. As their liquidity needs arise and business focus changes, we can respond quickly to meet the needs of a parent company or private equity firm seeking a divestiture.


Converting Public Companies to Private Ownership

  We sponsor transactions that convert publicly traded companies into private ownership. In today’s environment of increased scrutiny, public companies find it expensive and time consuming to comply with stringent reporting requirements. Often times, small and micro-capitalized public companies do not enjoy the benefits of liquidity that justify these incremental costs. Sequel can guide the management team through the process of returning to private ownership and structure a transaction to meet the needs of the shareholders.