THE PROBLEM
MGC was a Telecomms, Civil and Rail Signalling Contractor. They lacked focus and realised they wanted to target high value Rail projects, a market segment experiencing dramatic growth.

PROJECT
MGC approached WCT for expert guidance on formulating an Exit Strategy. The owners knew they were onto somethng big, were confident thay could grab a good share of the market and wanted an expert to help them to successfully exit the business in 3 years time.

CONTEXT
While the Rail market had enormous upside the Directors knew that their competitors where mulit-nationals with very deep pockets. So they had to grab market share and exit before the headwinds started blowing.

OPTIONS
The Directors realised that Accountants were best at company structure and tax and Lawyers for legal stuff and it was too soon to approach a Business Broker or M+A Agency. So they chose option 3 = Get expert advice and guidance from people that have been through the same thing - many times before!

RESULTS
The business grew revenue from FY20 of $5.0m to FY24 $20m with a solid ROI. They hit their "trigger point" 3 years into their journey.

HOW
A strategic review undertaken by WCT identified weaknesses including shareholder disputes, key staff retention, Directors distracted from core business by "noise", a weak balance sheet that could not sustain growth and lack of corporate governance.

OUTCOME
A $20m exit. WCT acted as Board Advisor, addressed all weaknesses and matched the Directors with the right M+A Team.