About Summit Mergers & Acquisitions

Summit Mergers & Acquisitions is CSC Capital’s mergers, acquisitions and divestitures advisory affiliate. Our focus is helping middle market buyers and sellers of companies and assets achieve their business objectives successfully in the most expedient, efficient and cost-effective manner. Summit prides ourselves on providing clients with complete and confidential advisory services throughout the transaction, and our experience enables us to proceed from research and analysis to closing in the shortest possible time period and with the least inconvenience to our clients.

Our first client was ironically our self. In 1995 CSC Capital with a strategic partner conducted an acquisition of a second generation middle market company in the building materials industry. From the analysis and valuation, to the arrangement of financing and negotiations to the eventual closing of the transaction, we got our first experience in helping buyers succeed. After a successful restructuring which included the divestiture of certain assets, the purchasing of critical real estate, the removal of the union, the formation of a new management team, and the installation of a new computer system, two years later on the company’s 50th year in business, CSC Capital sold its interest to the strategic partner, thus getting hands-on experience with the selling process. In May 1999 The Merchant Magazine wrote a story about the acquisition, the restructuring, and CSC Capital’s exit. The article in part stated:

“CSC Capital has sold their interest in the lumber company to their strategic partner…but not before helping to resurrect the yard. In May of 1995, the previous owner sold the business to the owner of two lumber yards, and CSC Capital, a turnaround firm…CSC Capital restructured the company, setting up a budget, more closely analyzing pricing, and installing a compensation system based upon performance. The latter did not sit well with the unmotivated staff…all unionized. ‘One reason the business was suffering was because it had union employees,’ a representative from CSC Capital explained. ‘We got rid of the union, and offered the union workers non-union scale jobs.’ All of them declined…All the activity told the community that the company was back in business. The company became profitable almost immediately…In March 1998 CSC Capital sold their interest to their strategic partner who will now operate it as a division [of the parent company].”

Two years later in 2000 CSC Capital officially expanded its client services adding a mergers and acquisition advisory group to the firm. In October 2000, The Merchant Magazine announced the firm’s “expanded focus.” In an article entitled “Restructuring Firm Expands into Acquisitions,” they wrote:

“CSC Capital is currently exploring advisory opportunities in California, Arizona, Tennessee, Florida and Pennsylvania, explains CEO C.S. Colvin: ‘People don’t appreciate the magnitude of opportunities existing for savvy investors who understand that an undervalued and under-managed, earnings-poor, commodity-oriented and incorrectly allocated asset-based industry is ripe for mergers and acquisitions. Do things the other way around, and you can have an explosion in value creation…He says current acquisitions in the industry seem to suffer from strategic intent. Acquirers focus on growth for growth sake, market share expansion without a clear understanding of the debt service, distribution and low earnings risks associated with buyouts. Restructurings oriented toward achieving economies of scale are clearly missing. The consequences of such ill-fated plans can be seen all across the country”

CSC Capital’s expansion into mergers and acquisitions was based largely upon the synergies and economies of scale that strategic buyers could realize from combining the expertise of a pre-acquisition restructuring-based analysis with a post-acquisition strategic and integrated restructuring. This value of synergy not only inspired the launch of the firm’s mergers and acquisitions group in 2000 but still is the raison d’être of Summit Mergers & Acquisitions today.

Therefore, Summit is unique in the mergers and acquisitions industry, and this difference has made us one of the most respected middle market advisors. Typical business brokers, especially those dealing with smaller companies help locate buyers for sellers or sellers for buyers, similar to a real estate broker. Mergers and acquisition specialist’s work for mid-size companies and their services expand to include the analysis of financial statements and operations of the companies involved, research of the industry and competition, preparation of a valuation report and marketing program for sellers, or conducting a corporate search for buyers, and assisting in presentations and negotiations. While a handful of specialist firms may further assist in legal, tax and financing matters, we know of few advisors that provide true expertise in corporate restructuring. And this alone could be the difference between success and failure.

The Summit difference is a surprisingly simple concept but one that is often neglected even in ultra-large publically traded mergers and acquisitions where Wall Street investment bankers control the process from start to finish. Our advisory practice provides clients all of the above services of mergers and acquisitions middle market specialists, discussed in detail below, but we also have in-house arrangement of financing through the firm’s debt and equity financing group. We do outsource complex legal and tax aspects of transactions when a second opinion is necessary, which is most appropriate for clients. But it is Summit’s restructuring-based approach to mergers and acquisitions with our proven results that has won the trust and respect of sellers and buyers alike. We are committed to help clients expand and sell their businesses in order to optimize stockholders personal net worth.