GA Group was approached by an institutional banking client seeking a solution for a corporate and investment banking customer. With upcoming debt maturity and a shifting financial landscape, the company sought clarity on asset valuation from a banking perspective but was not familiar with the asset diligence process.
With the unsecured credit facility’s maturity approaching, the company faced a critical decision: transition to an asset-based lending (ABL) structure or maintain its corporate banking relationships. While the bank group recognized the company’s strong balance sheet, it required an in-depth understanding of collateral values from multiple perspectives: orderly liquidation, fair market value and full field examination—all while preserving the unsecured facility.
The company needed a single firm capable of conducting a field exam and delivering a global asset valuation (inventory, machinery and equipment, intellectual property) — expertise GA Group was positioned to provide.
GA Group delivered a solution tailored to the client’s needs:
- Educating the Client: GA Group guided the non-ABL borrower through the field exam and appraisal process.
- Providing a Tailored Solution: GA Group offered preliminary valuation ranges based on limited public data before kicking off the formal engagement.
- Analyzed 17 entities across four jurisdictions (U.S., Canada, UK and Australia)
- Evaluated gross accounts receivable and inventory exceeding $1.4 billion
- Coordinated inventory test counts and visits with our appraisal teams for an efficient, streamlined process
- Appraised over $850 million in inventory assets across three divisions in the U.S., Canada, UK and Australia
- Valued over $150 million in M&E assets across 18 facilities, spanning diverse industries, including plastics processing, metalworking, woodworking and custom assembly cells
- Provided fair market and net orderly liquidation values for 30 brands
- Collaborated with company management to forecast brand performance, considering corporate allocations, industry trends and historical data
- Delivered industry expertise and bench-marking analysis to support valuation assumptions
