Our client manufactures and sells Milk in Stix sachets for the catering industry. Milk in Stix are better than jigger pots in terms of customer acceptance, packaging cost, distribution cost, leakages, and shelf life.
Having struggled with production design and set up which delayed profit-generation, the business has been overcome by its historic debt burden and requires financial restructuring and investment. Any newco prospects have been significantly enhanced in the last month by the exiting from the market of DairyStix, leaving an enormous gap to be filled (240million stix). The bank has given the business a matter of weeks to come up with a funded newco solution.