Background

I&C Ltd (trading as Red7 Marine) is a specialist offshore construction and plant hire business providing services to companies across the UK and beyond. Headquartered in Ipswich and owning some unique, high-value marine construction equipment, the business has grown rapidly in recent years.

Between 2016 and 2018 the company’s turnover increased from £6.8 million to £18.6 million, but the industry later suffered a sharp slowdown. As a result the directors sought additional debt and equity funding, and approached our team for help.

Action

Our Corporate Finance team was appointed to review and manage cash during this critical time, and to implement improvements to the company’s forecasts. Having launched the process to raise investment, the team provided regular reporting and advice to the board on funding options, deal structures and future funding requirements. Our role was to support the board and manage all stakeholders including the bank, shareholders and other advisers.

Outcome

Following the investment process, a solvent solution was achieved with new owners taking control and providing significant new funding for the business. Once the deal was completed we provided ongoing cash management advice, and supported the directors to deliver significant cost reductions and an operational restructuring of the business.