Sanus Systems is the leading designer and manufacturer of high quality stands and wall mounts serving the home entertainment industries. Products included mounts for audio-visual equipment and stereo furniture. The products were sold through most of the nation’s leading retailers including Best Buy, Circuit City, and Wal-mart.
FFL is a leading private equity firm whose Chief Manufacturing platform holding is an industry leader in manufacturing total support solutions for presentation systems. Chief produces mounts and related products used in commercial and industrial audiovisual applications.
Challenges
There were very significant confidentiality concerns and sensitivities related both to customers and new product development throughout the process.
Sanus Systems had a diverse ownership group which included active and inactive shareholders. Balancing their interests was key in negotiating and securing a successful transaction.
Sanus required additional capital for growth.
Results
Senior members of our team led a very confidential and focused search and contacted a minimal number of highly qualified buyers, ultimately identifying FFL/Chief as the best strategic fit for the business. FFL/Chief possessed the financial resources and strategic fit for a successful transaction.
Senior members of our team negotiated strong economic value to shareholders, favorable employment agreements, retention incentives, and worked with company’s counsel to negotiate favorable contract terms.
Senior members of our team worked closely with the company’s personnel throughout the marketing, negotiation, and closing of the transaction in order to minimize business disruption and increase the probability of a successful close.
