Examples
Capital Cities Capital- Wm Sword & Co. was a founder and co-creator of this venture investment subsidiary of Capital Cities/ABC, Inc.
- Mission: Earn venture capital returns by helping finance growth companies that need advertising
- The weighted average return of the portfolio until summer 1996 (when C3 became inactive due to the acquisition of CC/ABC by Walt Disney) exceeded 20%.
Cambridge Energy Research Associates
- Helped CERA and its owners over a four year period to plan and execute a financial/capitalization plan that takes advantage of CERA's unique assets
- Advised in a financing by which CERA's founders sold 10% of their firm to Goldman Sachs & Co. in late 1994
- Structured and negotiated the merger of CERA with McCarthy Crisanti & Maffei to form Global Decisions Group LLC
- Market capitalization of Global Decisions Group is approximately $100 million
- In 2004, Wm Sword & Co initiated and negotiated the sale of CERA to IHS Inc. (NYSE: IHS) a high value information company specializing in energy information (market cap $ 1.8 billion).
Aton Pharma
- Wm Sword & Co. sponsored the formation of a new specialty pharmaceutical company whose initial products are eight medically necessary prescription products acquired from Merck & Co.
- Provided guidance on company business plan and financing strategy
- Advised in the acquisition negotiations with Merck & Co.
- Raised the capital required for the acquisition
- Current status: Aton is significantly outperforming its original business plan and is pursuing additional product acquisitions as well as the relaunch of a neglected product from the acquired portfolio.
ZAIS Group
- Assisted in raising capital during Fall, 2006 to establish a short hedge against asset backed securities made up of recent vintage subprime mortgages
- The positions were unwound within the year 2007 in a series of steps generating a nearly 10x return to investors.
Sack Theatres, Inc.
- Introduced, structured, negotiated and financed the buyout of Sack (a Boston-based regional movie theatre chain).
- Equity investment from a wealthy family group.
- Advised in the add-on acquisition of Mid-States Theatres (Cincinnati)
- Company was recapitalized by Boston Ventures, backing the same management team
- The combined company was sold in 1988 to Loews Cinemas with a return to the equity owners in excess of $60 million: and IRR of 134% p.a.
Universal Foods Corporation
- Advised company for 13 years in all aspects of financing and capitalization
- Placed privately two issues of common stock constituting, at the time, approximately 20% of the company
- Compound Annual Rate of Return over 10 years: 20% p.a.
Olympia Brewing
- Advised and negotiated acquisition of Lone Star Brewing Company; subsequently sold for Olympia the Lone Star truck leasing subsidiary, effectively recovering Olympia's entire investment in Lone Star
- Advised in the sale of Olympia to Pabst. Olympia shareholders received more than twice the public market price prior to transaction .
Hillside Group (originally Sword Irwin & Co. Inc.)
- Acquired Buffalo Color Corp., the only producer of indigo dye in North America. Produced 130% IRR
- Acquired Plaskon from Allied Signal; sold after several years with a significant gain to investors
- Acquired Tee-Pak in 1981; sold in early 1997 for in excess of $300 million. Equity investors achieved a compound annual return of 25% over the 15 year holding period
Rheometric Scientific
- Helped develop strategic options for this publicly traded maker of scientific instruments;
- Assisted a large private equity investor to exit; and
- Advised on highly succesful recaptilation that preserved the public ownership and resulted in a 8x increase in market value.
Wolters Kluwer nv
- Assisted in divesting a non-strategic unit of medical publisher Lippincott Williams & Wilkins (a division of Wolters Kluwer);
- Representing eLawForum, Wm Sword & Co. initiated discussion with Wolters Kluwer and assisted in negotiating a transaction whereby Wolters Kluwer made an equity investment and entered into a strategic alliance with eLawForum.
American Materials & Technologies Corporation
- Assisted in sale of AM&T, a speciality manufacturer of advanced composites, to Cytec, a $1.4 billion specialty chemicals and materials company;
- Provided a fairness opinion
