AEG Partners Recognized with Large Company Turnaround of the Year Award10/06/2016
AEG Partners is pleased to announce it has been awarded the 2016 Large Company Turnaround of the Year Award from the Chicago/Midwest Chapter of the Turnaround Management Association for its work related to Compressor Engineering Corporation (CECO). Based in Houston, Texas, CECO manufactures and repairs compressor parts and performs pipeline integrity work for the energy industry.
Starting in late 2014 and continuing through early 2016, AEG held the positions of Chief Restructuring Officer (Phil Van Winkle) and Interim Chief Financial Officer (Jon Morrison) for CECO. Facing severe liquidity constraints and potential liquidation due to the underperformance of a key division, AEG led an out of court turnaround of the business. Working closely with CECO ownership, board of directors, management and company counsel (Hoover Slovacek LLP and Winstead PC), AEG wound down the troubled division, managed the company through the liquidity crisis and executed a turnaround of remaining operations.
As a result of the team’s actions, CECO survived the liquidity crisis, avoided Chapter 11 bankruptcy, substantially improved profitability and refinanced all outstanding debt at par. The turnaround was accomplished during a period when the oil and gas sector and its service providers have experienced tumultuous economic challenges due to the underlying commodity price decline.
“I am honored to have worked with such a talented group of professionals and thrilled with the outcome the turnaround team delivered for CECO, its owners, employees and lenders,” said Jon Morrison, Principal at AEG. Added Craig Dean, Managing Principal, “This case illustrates the ability of various stakeholders, despite disparate and sometimes conflicting motivations, to work together toward a successful outcome in an extremely difficult environment.”
About AEG Partners
AEG Partners has built a reputation as a premier advisory firm, assisting companies facing complex challenges by providing access to capital, hands on performance improvement support as well as restructuring and turnaround management services. AEG’s teams are experienced, operationally focused, and skilled at designing and implementing plans that allow clients to achieve positive outcomes. For additional information, please visit www.aegpartners.com.
About Compressor Engineering
Headquartered in Houston, Texas, CECO operates in two complementary divisions, manufacturing services and pipeline services. Manufacturing services specializes in the production and repair of compressor and engine parts to the gas transmission, midstream, petrochemical and air compression industries. The pipeline services division provides quality construction and maintenance services to the natural gas industry including: pipeline integrity work, pipe fabrication and coating applications. CECO, a family-owned and operated business, was founded in 1964. For additional information on CECO, please visit www.tryceco.com.