Janney acted as the exclusive sell-side advisor to Diamond Reporting on its sale to Veritext
Diamond Reporting (“Diamond”) is a family owned business that grew to become the largest independent court reporting agency in New York City
Diamond received an unsolicited offer from a national court reporting service provider and engaged Janney to determine the market value of the company and to test the market for additional interestPrior to testing the market, Janney provided substantial advice and assistance to Diamond regarding its financial reporting, by both recommending steps to improve its earnings as well as presenting earnings adjustments that would support maximum value
Janney created a confidential data room to facilitate due diligence, and under the strictest confidentiality, reached out to a competing national consolidator and invited them to evaluate Diamond as an acquisition target
Janney also managed a comprehensive due diligence process conducted by the selected buyer’s corporate development team (finance and integration), quality-of-earnings consultant (accounting) and legal counsel (legal diligence). Janney also assisted Diamond’s attorneys in negotiating the terms of the legal documents
We received competing letters of intent from both strategic acquirers and closed the transaction with the initial bidder at a significantly increased purchase price over their first offer
The owners of Diamond were extremely pleased with the outcome of the transaction, achieving a value for their business that appropriately rewarded them for the nearly 40 years they had invested in its formation and growth.