Global Private Equity Investment Group - Satellite Services Company
Strategic Advisory / Due Diligence / Restructuring
Client: SHouse Capital is a private family office investment vehicle located in a MENA country.
Investment Target:
DARSCo. provided satellite-based digital audio radio services (“DARS”) and data broadcasting services to paying subscribers in 10 countries throughout Europe, India, the Middle East and Africa.
Deal Overview:
Engaged to represent SHouse Capital (“SHouse”) as DARSCo. was attempting to raise additional debt/equity capital. Izar Capital principals acted as exclusive investment banker to SHouse and were charged with exploring and providing financial and strategic alternatives to SHouse to maximize the value of its $1.5bn investment in DARSCo. SHouse was DARSCo.’s largest creditor and had an acrimonious relationship with DARSCo..
Izar Capital was able to establish a solid working relationship with DARSCo., which allowed unfettered access to DARSCo.’s executive management team and created an atmosphere based on trust. Izar Capital was able to provide SHouse with a full understanding and analysis of DARSCo.’s operations, its ability to raise capital, its business plan and future prospects, and a concrete plan of action to protect the value of its investment.
Key Solutions / Deal Highlights:
Investment Target:
DARSCo. provided satellite-based digital audio radio services (“DARS”) and data broadcasting services to paying subscribers in 10 countries throughout Europe, India, the Middle East and Africa.
Deal Overview:
Engaged to represent SHouse Capital (“SHouse”) as DARSCo. was attempting to raise additional debt/equity capital. Izar Capital principals acted as exclusive investment banker to SHouse and were charged with exploring and providing financial and strategic alternatives to SHouse to maximize the value of its $1.5bn investment in DARSCo. SHouse was DARSCo.’s largest creditor and had an acrimonious relationship with DARSCo..
Izar Capital was able to establish a solid working relationship with DARSCo., which allowed unfettered access to DARSCo.’s executive management team and created an atmosphere based on trust. Izar Capital was able to provide SHouse with a full understanding and analysis of DARSCo.’s operations, its ability to raise capital, its business plan and future prospects, and a concrete plan of action to protect the value of its investment.
Key Solutions / Deal Highlights:
- Engaged in worldwide due diligence activities, including on-site visits to key management and field offices.
- Conducted detailed viability assessment of business plan and financial model
- Conducted detailed interviews with DARSCo. corporate management and key personnel
- Made site visits to key operations centers including London, Johannesburg, Bangalore and Beijing and subsequent follow-up discussions
- Provided a thorough analysis of SHouse’s strategic alternatives for value maximization its investment
- Negotiated with DARSCo. on re-capitalization ideas
- Managed process of the creation, structuring, and negotiation of tactical and strategic action plan, which included a full corporate and operational restructuring, including the sale of assets, closure of sites and re-organization of management
- Worked with DARSCo. investment bankers to negotiate a conversion of certain fixed income investments into royalty structure vehicles which allowed for new junior capital