Branded Cookie Manufacturer and Distributor

Company Overview

A regional branded cookie and biscuit Company selling to major retailers through a direct-to-store delivery function.

The Company had been owned and managed by a large corporation until a Fort Dearborn led group purchased the assets.


Engagement Overview

 Fort Dearborn led many of the strategic decisions and business restructuring initiatives including:

  • Raised the investment capital and debt financing to fund the acquisition.
  • During its first year after acquisition, the new entity eliminated a prior year operating loss of over $8 million and returned to the Company to profitability, reducing its debt and working capital investment.
  • Led initiatives to redesign packaging and enhance marketing efforts to reenergize tired products.
  • Reorganized the delivery function to reduce operating expenses through improved logistics and enhanced transportation efficiency.
  • The Company’s overall plan was to grow through acquisition of select regional cookie and biscuit companies. Fort Dearborn initiated contact with a comparable regional competitor to explore their desire to sell. After evaluating the benefits of a potential acquisition of other competitors, it was determined to sell the Company, rather than pursue acquisitions. 
  • Fort Dearborn acted as exclusive transaction advisor in the successful sale of the Company


Results
  • Fort Dearborn acted in several capacities including: board members, President, performing due diligence, sale advisory and transaction negotiation

  • After returning the Company to profitability Fort Dearborn’s sale process delivered a rate of return in excess of 70% to stockholders in little more than two years since the acquisition.