Canadian Appliance Source ("CAS") is a technology-enabled, click-to-brick retailer of kitchen and laundry appliances. Founded as an ecommerce-only business in 2008, CAS has grown rapidly and now operates five showrooms in southern Ontario.
NewPoint was retained by the shareholders of CAS as the exclusive financial advisor with respect to the transaction. NewPoint assisted the client with all aspects relevant to the transaction including sourcing and approaching a broad list of financial and strategic parties, negotiating the key transaction terms including the price, due diligence, and all agreements related to closing.
After approaching a variety of North American and European investors, NewPoint received multiple letters of intent to review. NewPoint and the shareholders concluded that the proposal from Yellow Point, a Canadian private equity firm, was the option that best addressed the objectives of the shareholders. The transaction allowed the shareholders to receive a significant amount for their ownership, and retain an interest in the business to maximize their potential for future upside