The challenge

Our client—a growing Canadian telecommunications business that builds and maintains fibre optic networks—underwent structural and operational changes that resulted in crushing liquidity challenges. Time was of the essence, as they needed a multidisciplinary team of advisors to identify and correct the myriad of issues that were threatening their immediate operations—and if there would be
a future for their business.

How we helped

Engaged with our Corporate Finance team to assist with their immediate financial instability.

The Corporate Finance team was able to identify multiple issues including payments to equipment leasing providers and lenders.

Restructuring team was brought in to support our client’s decision to move forward with a holistic plan to rebuild the business.

This included assistance in financial projections, negotiating agreements with lenders, formal restructuring, and communication with creditors, customers and employees.

Our client initially engaged our Corporate Finance team to assist with their immediate financial instability as they approached their busy season, but our analysis uncovered increasingly complex layers of issues— including unprofitable divisions, the inability to keep up with payments to equipment leasing providers and lenders, and the need for a significant influx of operating cash to survive the next six months.

Once our Corporate Finance team understood and identified the situation’s full complexity, our Restructuring team was brought in to support our client’s decision to move forward with a holistic plan to rebuild the business and help them navigate the inevitable challenges that come with such a massive undertaking. This included assisting in rebuilding financial projections; assisting in negotiating agreements with lenders; assisting in dealing with lenders to maintain support and securing interim financing; assisting with the sale of unprofitable divisions; commencing formal restructuring proceedings; and communicating with creditors, customers and employees.

The impact

In a time of significant change and distress, we understood the importance of supporting our clients as business owners and people. We assembled the right team of advisors to assess enterprise-wide issues while also earning their trust with a calm presence, seamless collaboration, objective advice, and active listening. Our work resulted in our client maintaining control of their business—including their successful negotiations with creditors—and has since returned to profitability and growth. We are proud to have helped our client’s business to survive and thrive.

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