WATERLOO HEALTHCARE – SC&H Capital was hired as the exclusive agent for this manufacturer of medical carts and related products. Revenue had declined over 50% in 5 years, mostly due to a lack of new products and a manufacturing recession. The company had a large debt burden, had stretched their trade payables to the limit and inherited several problems when it was acquired less than two years prior. SC&H Capital was able to obtain 3 offers to purchase and operate the company. The transaction was structured as a simultaneous Voluntary Surrender of Assets to the Senior Secured Creditor, Asset Sale to the buyer, and Transfer and Assumption agreement with a third party for licensing the brand name. The purchase price fulfilled 100% of the secured debt and 35% of the trade debt obligations. Waterloo Healthcare continues to operate today under the prior general manager.
