Offshore Services Company
The Situation
- Integrated offshore construction and diving company that serviced the oil and gas industry and had expertise in offshore marine construction, such as construction of undersea pipelines and other similar structures
- Company had sustained significant losses in West Africa and Mexico and was facing severe cashflow shortfalls
- There was continuing default with company’s secured line of credit
- Customers were slow to paying company, resulting in cash receipts coming in slower than expected
Role(s)
- Chief Restructuring Officer
The Work
- Assisted company in creating an operating model and 13-week cash flow forecast
- Assisted in negotiations with secured lenders
- Created communications protocol with key vendors to assist in managing liquidity and completing project milestones which enabled the company to collect its receivables
- Negotiated sale of the assets of company
The Results
- Successful sale was completed, saving jobs and company at a time when the marine construction industry was under severe price pressure and in decline
- Used financial and operational resources within company to make cost-efficient and effective decisions in a short timeline and with significant liquidity constraints