“We always knew that selling to a close competitor who could achieve extensive synergies with a business combination would be challenging. The strategy that Zachary Scott designed and managed allowed Service Paper Company to close a deal that shared the upside without compromising our competitive position during the process.

The analysis was extremely quantitative and exacting and we could not have achieved our objectives without your constant support and attention to detail.”
Leonard Green, Former Owner & President, Service Paper Company
Consumer ProductsDistributorsM&A: Sell-Side
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Situation

Headquartered in Sumner, Washington, Service Paper Company (“SPC”) is a distributor of paper products, packaging, and Jan/San supplies throughout Washington and Oregon. A direct competitor in the PNW market, Bunzl PLC, a London stock exchange-listed, global paper products distributor approached SPC to explore a business combination that could yield substantial joint benefits.

ZS Role

Zachary Scott was engaged to advise the owners regarding the synergy economics and to negotiate a sale of the business.

Results

Zachary Scott prepared pro forma financials demonstrating the improved economics from a business combination and negotiated a sale based on sharing the upside that would result from combining the two businesses.