Toronto, ON Founded in 1975 by Maurice Boughton, dbcSMARTsoftware is a leading provider of commodity processing and risk management software for the agribusiness/bioproducts industry. Its software suite allows producers, processors, manufacturers and traders to buy, sell, hedge, warehouse, merchandise, export, and transform commodities into value-added products and by-products for distribution. The Company’s software uniquely integrates trading, risk management, and ERP distribution and manufacturing applications to create a complete turn-key solution.
The Challenge
In 2009, Mr. Boughton recognized that dbc’s growth afforded him the ability to monetize the success he had experienced building the company into a dominant player in the agribusiness ERP/CTRM industry. With the goal of both spending more time with his family and also providing for his employees, Mr. Boughton approached Arbor Advisors to discuss possible transaction options. Beyond a focus on price & deal structure, Mr. Boughton was especially impressed with Arbor’s emphasis on post-deal implementation. Given he would continue to work with dbc’s acquirer for a short time after the sale, Mr. Boughton thought Arbor Advisors was uniquely positioned to manage and execute on his many and varied needs.
The Solutions
OpenLink Financial (a Carlyle Group-owned company) purchased the outstanding shares of dbc and incorporated the company into their Risk Management & ERP software product offering. This allowed Mr. Boughton to monetize his success as well as ensure dbc would be part of the dominant player in market.
Arbor Value Add
- Contacted over 120 potential investors/acquirers
- Received 9 LOIs
- Provided strategic advice on both pre- and post-deal considerations
- Managed a complex deal process and negotiated with a variety of buyers including: large strategic companies, pure financial buyers, and private equity-owned acquirers
- Maintained a competitive deal process and found the buyer who placed the most value on the company
- Structured a transaction for up-front liquidity with favorable post-deal terms
- Exceeded the valuation expectations of the owner
