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NWWI / Mountbleau & Associates – Case Study

by | May 9, 2023 | Case Study

Reading Time: 2 minutes

Merit Investment Bank & Co. advises Northwest Woodworks Inc. on its sale to Montbleau & Associates LLC, a portfolio company of Crescendo Capital Partners LLC.

Client Overview

  • Northwest Woodworks Inc. is the premier provider of highly customized commercial architectural woodwork and casework, serving clients in Washington State for over 30 years.
  • The shareholders’ goal was to find a buyer who would help them achieve liquidity, while leveraging the strong performance and dominant market position of the business to usher in the next phase of growth.

Merit Investment Bank Approach

  • Merit Investment Bank faced a tempered buyer universe as a result of the ongoing market turmoil caused by the COVID pandemic. Specifically, softness in the broader market, difficulty in the credit markets, and the Work-from-Home policies’ effects on the office space and tenant improvement verticals created strong negative perception of the business despite NWWI’s strong, profitable, and growing financial performance.
  • The Merit Investment Bank team was able to overcome these difficulties by emphasizing NWWI’s position as the regional market leader and by leveraging its extensive knowledge of and relationships within the industry to effectuate a successful transaction.

Results

  • Through an efficient and well-run process, Merit Investment Bank was able to bring a range of buyers to the table. When the primary buyer was unable to perform, Merit Investment Bank acted quickly to pivot to an existing relationship with a potential buyer who was looking at the space to solicit an Indication of Interest. This occurred over the duration of a week and a half.
  • Ultimately, Crescendo Capital Partners acquired NWWI simultaneously with the platform company, Montbleau & Associates. Together, the newly formed entity will be the regional leader in the commercial architectural woodworking industry serving the Western US.
  • NWWI’s shareholders were incredibly pleased with the outcome of the transaction and are looking forward to continued growth and opportunity with their new partner.

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