Case Study IV

The Problem

A chemical company, based in Singapore, was thinly capitalized, and was continuously running into cash flow emergencies. The client’s many bankers and creditors were growing impatient to the point of instituting a possible involuntary bankruptcy action.

The Work

A detailed cash flow forecast was prepared to determine the viability of the business. After determining that a turnaround was feasible, A.L. Piccolo & Co., Inc. arranged for additional investment capital, all the while performing an “out-of-court” reorganization of the client’s debt.

The Result

The client received a $10 million equity investment and a syndicated consolidation loan of another $10 million. The company went on to many future years of profitability until it was later sold.