AEG Partners Facilitates Operating Restructuring of Defense Products Firm [more]10/15/2023
AEG was recently requested by a private equity firm to assist with a portfolio company, a West Coast-based manufacturer of defense products. Since the firm had been acquired, the company had experienced an unexpected decline in financial performance, including softness in the top line as well as troubling growth in expenses. AEG worked closely with the management team to assess the market, which had shifted from very stable, consistent ordering patterns to much less predictable. To address this change, AEG assisted in identifying cost and manufacturing process expenses that could be reduced to match the new market realities. AEG also helped the leadership team to establish priority initiatives, put in place key performance metrics, and develop meaningful KPIs to provide visibility into the performance of the business. With AEG’s guidance, management put together a credible go forward business plan that garnered support from both lenders and the sponsor, forming the basis for a successful restructuring.