EQUITY, DEBT FINANCING
CEC’s corporate finance team provides our clients with a deep understanding of the market, sources of funds that may be available, and a deep, diverse set of commercial experiences with private business at all stages of their corporate life-cycle.
With a strong record of successful transactions, CEC has evidences in support of their tenacity, and competency for raising private capital from a number of different sources for Canadian companies.
Clean Technology Start-Up – Seed Round Equity Raise
Partner was contracted to review an investment for the controlling position in a Colombian incubation centre; initial investment was successful made of USD$2.0M+ of which USD$400K was made into a specific clean-tech company
- CEC has been retained to assist with the company’s North American launch and is participating in the founders round of equity investment.
- CEC has assisted valuation grow from USD1.0M+ to USD$2.5M+ in less than 3-months, and raise the 2nd round of equity to support that valuation.
CEC works in concert with all stakeholders of our clients in order to evaluate and implement strategic, financial and operational countermeasures to improve performance. Declining earnings, liquidity, concerns of cash-flow, are all potentially contributing factors to declining financial strength of an organization. Detection, and swift decisive action are absolutely crucial to restore value to an organization.
Through our decades of starting, growing and selling businesses, our advisors are able to lean on a diverse set of experiences that sets us apart from other companies who may be looking to bill-out hours, set fee-based relationships, or position themselves to take-over or strip your company of its assets.
Our advisory practice is designed to be in the best interest of the client, not ourselves. We have advised on a number of potential solutions:
BC-Forestry Conglomerate – Advisory Services
Advisory services to position the group of companies for USD$170M+ international share sale to Asian investors
- CEC’s role was to re-package the company to be palatable to the Asian equity community by re-positioning the evidence for valuation, building pitch-book and data room, and engaging with potential interested parties.
MERGERS AND ACQUISITIONS
Our boutique approach to acquisition, divestitures and financing solutions sets us apart from companies here in Canada. In hand with a corporate mandate, we take a “full-court press” approach to deliver unique and clever solutions. A successful transaction of the result of a disciplined process, thorough research, and analysis. Our team delivers superior results because of a strong network of privately capitalized individuals and institutions, deep, real life business acumen, and close guidance along every step in the process.
Sell Side – CEC has helped companies pursuing a sale or a merger, and/or organizations interested in a partial divestiture of assets or a specific division. End-to-end strategic advisory, and maximizing valuations through multiple bidders is the reason we have been successful in closing transactions.
Buy Side – CEC often represents foreign-owned entities who are interested in strategic, or sector-focused acquisitions, share purchases, mergers, leveraged buy-outs or IP transfers. Our advisory practice assists with market analysis, target identification and communication, negotiation and preliminary due-diligence.
Canadian Coal Mine – Acquisition Due-Diligence
CAD$10M+ offshore investment into Canadian public (TSX.V) mining company with strategic coal assets in Western Canada
- Buy-side due-diligence mandate on behalf of Chinese private equity group.
- CEC supported valuation, liaised between Canadians and Chinese to facilitate a successful transaction.
TRANSACTIONAL FINANCING, ALTERNATIVE FINANCING
Many start-ups, small and medium-sized businesses that are in their growth phases experience temporary cash-flow issues when filling a large order, hiring out a new team, or expanding their operations. CEC is able to supply working capital and trade finance solutions when other traditional sources of financing are unavailable.
Canadian financial institutions are notorious for their conservative approach to financing SME’s. Often, even 3-years of financial statements and stable continued revenue growth isn’t sufficient to access working capital or a bridge loan. CEC’s lenders have an appetite for a section of the marketplace that we feel is under-serviced.
Some of the alternative finance solutions CEC has provided in the past are:
Saskatchewan Lumber Mill – Operating Loan
CAD$1.5M+ operating loan provided to soft-wood lumber mill to fund start-up and commissioning from care and maintenance after its acquisition
- No other traditional source of financing was willing to ‘step-up’ including banks; CEC secured an alternative source of financing to allow for the expansion of their operations; the mill turned a profit within 18-months and the loan was repaid in full with interest before the expiration of its term.