How we helped
Coming into a merger without yet capturing synergies for fear of losing the entrepreneurial zeal of each site, the leadership of two recently merged auto-auction companies enlisted AlixPartners to capitalize on value creation and steward the integration process. Profit margins were healthy, but the industry as a whole was being buffeted by supply-chain disruptions.
It was important that the companies got on the same page fast and made use of its size, but the executives had had poor results from past consultants that did not fully appreciate the nuances of their business.
Drilling down from 80 initial value-creation initiatives, our team focused on validation and action over the next 22 weeks, launching a transformation office and governance arm to drive execution of strategies.
Within six months, the EBITDA annual run-rate had improved 40% from cost and revenue actions in a down market, significantly exceeding expectations of the private-equity owners.
40%
boost to EBITDA annual run-rate