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|FOR IMMEDIATE RELEASE
August 13, 2003
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Tel: (603) 226-3200
NH MEP HELPS EMPLOYEES SAVE NEWMARKET COMPANY THROUGH LOCAL BUYOUT
Newmarket, NH – Suflex Sleeving and Tubing has been operating in Newmarket for over 30 years, manufacturing protective tubes and sleeves for electrical wiring in recreational and industrial machinery.
Over the years the company has built a quality reputation within the industry, but up until a few months ago it looked as though, the parent company of Suflex might close it down because of difficult economic times in the manufacturing industry.
Thanks to the dedication of two long time employees and the assistance of the New Hampshire Manufacturing Extension Partnership (NH MEP) and several other local and state organizations, the company is not only remaining open, it’s thriving. At a celebration on Friday afternoon Suflex was officially renamed Regal Sleeving and Tubing, LLC by L. Gerard Landry and Al Ferrari the company’s new owners.
Landry and Ferrari have over 50 years of combined experience managing Suflex and believed the company stood a better chance of survival if it was locally owned and operated but didn’t know how to go about buying the company.
The two men decided to contact the New Hampshire Manufacturing Extension Partnership (NH MEP) for help navigating the buyout process.
“They asked us to help them with the steps, considerations, timing and strategy of a management buyout, or MBO,” said Don Peterson, Senior Project Manager with the NH MEP. “The first step in the MBO journey was to gather a group of seasoned professionals from several disciplines to assess the pros, cons, considerations, risks and major issues in acquiring Suflex.”
“This deal would not have been completed without the assistance provided by Don and the NH MEP,” said Gerry Landry, Regal Co-owner and General Manager. “We knew how to run the business, we just didn’t know how to buy the business.”
“Gerry and I were not sure how to get all of the necessary people assembled,” added Al Ferrari, Regal Co-owner and VP of Sales and Marketing.
After listening to Landry’s and Ferrari’s initial ideas, Peterson brought together a group of people from the legal, financial, banking, and entrepreneurial fields to meet with the men and help guide them through the purchase process.
“The input that we received was exactly what we needed,” said Ferrari. “The legal, financial, and banking contacts that were made at this meeting were the people that helped us bring this deal to completion.”
“Without this initial meeting we would have wasted months of time and effort trying to make these contacts,” said Landry. “From that initial meeting Don stayed in contact with us and provided valuable feedback. Al and I have commented on numerous occasions that we don't know what we would have done without the help of Don and the NH MEP.
Now under local control, Regal expects to exceed $5 million in sales this year. The company is also continuing to work with the NH MEP to establish a new accounting and inventory control system.
As part of the ceremony, Landry and Ferrari also thanked Roy Duddy, Director of the Office of Business and Industrial Development, NH DRED, Warren Daniels of the NH Small Business Development Center, Newmarket Town Officials and representatives from First Colebrook Bank, Medaglia and Co., Inc. CPA, Getman, Stacey, Tamposi, Schulthess, & Steere, PA, the Rockingham County Economic Development Corporation and the Newmarket Community Development Corporation for their help making the buyout a reality.
NH MEP is an affiliate of the National Institute of Standards and Technology under the U.S. Department of Commerce. The national MEP is a network of manufacturing extension centers that provide business and technical assistance to smaller manufacturers in all 50 states, the District of Columbia and Puerto Rico. Through MEP, manufacturers have access to more than 2,000 manufacturing and business “coaches” whose job is to help firms make changes that lead to greater productivity, increased profits and enhanced global competitiveness. NH MEP works in partnership with the New Hampshire Department of Resources and Economic Development. For more information on the services NH MEP project managers provide, contact the Concord office at 226-3200.