E-newsletter: Gordian Group September 2014 Update
As summer ends, we wanted to take a moment to share some highlights from the past year. 2014 has continued to be a challenging environment for the restructuring industry.
However, 2014 is shaping up to be better than 2013 for us. It is gratifying that we enjoy such great market share, and it is a tribute to our professionals and the recommendations of our fellow professionals and former clients.
Awards & Recognition – Investment Banker of the Year by ACG
Gordian continues to be recognized as leaders in the bankruptcy and restructuring field. We were named Investment Banker of the Year at the 2014 ACG New York Champion’s Awards, and Boutique Investment Bank of the Year by The M&A Advisor at its annual Turnaround Awards earlier this year.
Turnarounds & Workouts once again named Gordian an Outstanding Investment Banking Firm of 2014 and The Deal’s latest League Tables ranked Gordian in the top 10 for top Investment Banks in our space (with three of our senior partners in the top 6 Investment Bankers).
More recently, Gordian was named a finalist in 5 categories by The M&A Advisor in connection with its annual M&A Awards for our tremendous successes in the 363 sale and restructuring of both Montreal, Maine and Atlantic Railway (“MM&A”) and Xtreme Power, and also as Boutique Investment Banking Firm of the Year.
We are very proud of these accomplishments and continued success. See our awards news here.
Press – Peter Kaufman on Fox Business
Peter Kaufman appeared on Fox Business with Maria Bartiromo discussing the regulatory environment, bank regulations and interest rates. Click here to view video.
Turnarounds & Workouts wrote a profile on Henry and Peter in The March/April 2014 newsletter entitled “Entrepreneurs at Heart”. Click here to read article.
Lastly, Peter Kaufman and Henry Owsley’s 2nd book, “Equity Holders Under Siege” will be released next month by Beard Books – stay tuned for more information.
Private Equity, Restructuring and M&A – Recent Successes and New Opportunities
Recent successes that closed over the past year include advising: the Transport Workers Union – AFL-CIO in connection with the American Airlines bankruptcy and merger with US Airways; Montreal, Maine & Atlantic Railroad in its 363 sale to an affiliate of Fortress Investment Group; Stereotaxis, a successful fast track recapitalization; Xtreme Power (an integrator of batteries storing wind and solar power) in its 363 sale to a European competitor, Younicos AG; an undisclosed private-equity backed pharmaceutical company; and a founder/entrepreneur-run leading mosquito repellant company in its sale to a private equity firm.
In Xtreme Power, we were able to avoid liquidation and navigate a fast-track Section 363 sale of the Debtor’s assets at roughly 3.5 times LTM revenue.
In MM&A (which had experienced the first of several tragic railcar derailments that have adversely affected the North American rail industry and which have brought movement of crude oil by rail under close scrutiny), with significant regulatory and public opinion overhang, our ability to consummate this sale through bankruptcy is a testament to our deal-doing prowess.
In addition to our expanding practice representing private equity firms and their portfolio companies in distressed and complicated situations, Gordian continues to evaluate sector-specific opportunities including:
(i) its Gordian-Dynamis Solutions joint venture in the healthcare market (which included work in the Interfaith Medical Center bankruptcy);
(ii) evaluating opportunities in the increasingly troubled higher education market; and
(iii) continuing to be extremely active in structured finance, representing the rehabilitator to Ambac, the regulator to a leading mortgage insurance company and a leading financial guarantee insurance provider.
Private Equity Focus
We continue to burnish our reputation as perhaps the leading investment bank in resolving successfully the capital structure challenges of private equity firms’ portfolio companies.
Litigation Support / Expert Witness Practice – Update
We also continue to thrive in our expert witness and litigation support assignments, and have added new professionals to facilitate further growth here. In the past year, we have worked on a number of matters involving valuation, solvency and corporate governance, including in key jurisdictions such as Delaware Chancery Court and New York Supreme Court.
Asset Management – Bacchus Capital – Peter Kaufman on CNBC and DeLille Cellars Nominated by Wine Enthusiast for “American Winery of the Year” Award
On the asset management front, Bacchus Capital Partners, an affiliate of ours that loans to, and invests in, wineries and wine-related entities, has also celebrated much recent success.
Peter Kaufman was on CNBC’s Street Signs recently, discussing investing in the wine industry. Click here to view clip.
The Bacchus portfolio winemakers have been busy and their hard work has paid off, as evidenced by many recent accolades including an enormous honor for DeLille Cellars with their nomination by Wine Enthusiast Magazine for “American Winery of the Year” in the 2014 Wine Star Awards, which recognizes leaders in the world of wine and spirits. Bacchus currently has 6 portfolio wineries and 3 previous successful exits/financings.
Thank you again for your support and friendship in our more than 26 years in business, and we look forward to catching up in the remaining portion of 2014.
Peter S. Kaufman
Henry F. Owsley
Chief Executive Officer
950 Third Avenue, 17th Floor
New York, NY 10022