Agriculture & Food
![subpage-heroimage-bottom-blocks subpage-heroimage-bottom-blocks](https://wearemeru.com/wp-content/uploads/2020/09/subpage-heroimage-bottom-blocks.png)
MERU CASE STUDY
Restructured a $300M domestic frozen food distributor
COMPANY OVERVIEW
- A $300M frozen food distributor (ESOP) with 5 distribution & cold storage facilities servicing customers across 14 states
- Lost their largest distribution customer accounting for ~70% of 2017 revenue projections
- This resulted in EBITDA and liquidity pressure as the company attempted to stabilize and generate new business
- MERU was engaged to: (i) review and assist with refining of the company’s 13-week cash flow model, (ii) develop an integrated, scenario-based, 5-year three statement model, (iii) assist with lender communication and negotiations, and (iv) develop and implement a key employee retention plan
OUR APPROACH
- Refined and re-built portions of the company’s existing 13-week cash flow model and assisted the controller with weekly cash management
- Rapidly developed a revised operating forecast and scenario-based 3 statement model used as the key tool to lead negotiations with lenders
- Developed and presented a key employee retention plan to the Board of Directors using supported market data and company comps
![Case Study Graphics - ImagesQuote Library (2) Ag & Food - Case Study #3](https://wearemeru.com/wp-content/uploads/2022/08/Case-Study-Graphics-ImagesQuote-Library-2.png)
OUR IMPACT
![case-study-icon2 case-study-icon2](https://wearemeru.com/wp-content/uploads/2022/08/case-study-icon2.png)
Avoided bankruptcy which saved the company millions of dollars of professional fees, loss of customer contracts and key employees.
![case-study-icon1 case-study-icon1](https://wearemeru.com/wp-content/uploads/2022/08/case-study-icon1.png)
Successful renegotiation of covenants with the lender.
![case-study-icon3 case-study-icon3](https://wearemeru.com/wp-content/uploads/2022/08/case-study-icon3.png)
Provided transparency into the liquidity runway allowing the company to optimize the sale process timeline and close multiple asset sales (key milestones in the long-term viability plan developed by MERU).