Shattan.com - Case Study

Case Studies

Situation Analysis: June 1997

	Experienced owner of janitorial services company considers selling firm to provide liquidity to a retiring Co-Founder
	Retains specialty M&A firm to handle the transaction
	While preparing for sale, owner meets The Shattan Group ("TSG") who proposes a management-led recapitalization funded by Private Equity investors
	Company decides to seek capital for retiring Co-Founder in addition to substantial capital for acquisitions

Outcome: Raises Capital and Successfully Consolidates Fragmented Industry

	Company retains TSG as its Agent
	TSG secures $19.5 million in equity capital from a deep-pocketed institutional investor
	Portion of proceeds used to provide liquidity to the retiring Co-Founder
	TSG arranges a $30 million Acquisition Credit Facility for the newly-capitalized Company
	Company has consummated more than 13 acquisitions since closing (more than $100 million in revenues and over $10 million of EBITDA)
	Institutional investor has subsequently committed an additional $10 million to further propel growth

This announcement appears as a matter of record only.

$49,500,000*

SANITORS, INC.

$19,500,000
Convertible Preferred Stock

Summit Partners Management

$30,000,000
Acquisition Credit Facility

BancBoston Capital

The undersigned privately placed the
Convertible Preferred Stock in this transaction and
arranged the Acquisition Credit Facility.

December 1997

The Shattan Group LLC
730 Fifth Avenue - Suite 933 - New York, NY 10019
Copyright 2003 The Shattan Group LLC

Tel: (212) 659-7723
Fax: (212) 659-7736