Aerospace & Advanced Manufacturing
MERU CASE STUDY
Managed the sale of a wind turbine manufacturer
COMPANY OVERVIEW
- A wind turbine manufacturing and servicing company with 700+ wind turbines across 26 wind farms
- Revenues had declined significantly as the Company was forced to stop production of its current product in anticipation of a significantly improved model to address warranty issues in the field
- Company was experiencing large (and increasing) negative cash flow and facing approximately $500 million in warranty costs
OUR APPROACH
- Member of the interim management team
- Developed a plan to wind down the business and approach settlements with customers and vendors
- Assessed and modeled the backlogged production which included highly engineered components with long lead times (365 days+)
- Reestablished stability in the organization and supported communications with employees regarding strategic alternatives
- Developed a cash forecasting and cash management model by integrating accounting, operations and IT processes to improve the efficiency and accuracy of weekly cash forecasts
- Provided road map for buyer’s consideration as well as providing a fallback plan in support of the sale process
OUR IMPACT
Company successfully sold to a large private equity firm.
Developed new comprehensive business model which was transitioned and implemented by new owner
Created valid alternative to sale preventing issues around negotiating with single buyer.