Situation and objectives

• Client is a private equity fund with a portfolio company active in hospital laundry services
  
• Portfolio company is highly leveraged
  
• Contract laundry business is subjected to price pressure due to public health spending cuts
  
• Contract laundry business reached maximum capacity
  
• Private equity fund intends to sell company
  

Approach

• Development of a strategic framework for business development
  
• Market entry into high value operating theatre laundry
  
• Move from contract laundry into standardised leasing laundry service
  
• Introduction of a second shift
  
• Preparation of an investment memorandum
  
• Identification of target investors and implementation of the transaction process
  

Results

• Doubling of sales and EBIT volume within 5 years
  
• High margins defended in a business affected by severe cost pressure
  
• Sale of company to a strategic investor at target level