World Wide Auction Process Results in a Successful Recapitalization
Industry: Aerospace and Defense
Company Profile: Centra Industries Inc. is a family owned business with over 30 years of experience supplying structural, wing and landing gear
components supporting major commercial and military aircraft programs. The company operates from a large, modern manufacturing facility located in Cambridge,
Ontario.
NewPoint’s Role: NewPoint was retained as exclusive financial advisor by the company to recapitalize the business providing liquidity to non-management
shareholders and growth capital to support a major expansion of its manufacturing facility. NewPoint planned and executed a disciplined and confidential process,
extensively canvassing financial and strategic groups from North America, Western Europe and Asia.
Transaction Snapshot: After receiving multiple Letters of Intent, NewPoint completed an extensive analysis of the quantitative and qualitative merits of each proposal.
NewPoint and the Board of Directors concluded that a unique recapitalization model presented by Heritage Partners, a U.S. private equity fund, was the option that best
addressed the objectives of the shareholders and management. The transaction allowed the shareholders to retain majority control of the business and maximized their potential for future upside.
