The Rodon Group (TRG) and its sister company, K’NEX®, are plastic injection molders and toy manufacturers, respectively with $70 million in annual revenue. TRG is one of the largest family-owned businesses in the U.S., engineering over two billion parts for K’NEX® each year. K’NEX® provides creative building toys, games and educational videos for children ages 3 through 16. TRG’s product offering included branded games such as Lincoln Logs®, TinkerToy®, and K’NEX Education®.
Winter Harbor was selected as Chief Restructuring Officer to assist the The Rodon Group with completing a full restructuring of business operations related to each of their product lines.
Assessed the Company’s recent performance and its projected financial results.
Determined near-term cash flow based on multiple financial scenarios.
Negotiated a forbearance agreement and seasonal over-advance with the asset-based lender.
Reported weekly cash flows in relation to the projections and submitted to the lender during the forbearance period.
Led payment-plan negotiations with critical vendors on the company’s behalf.
Created and facilitated the execution of several operational-improvement initiatives to enable the achievement of its annual budget and reduce business risk.
Performed for executive management financial-scenario analyses to determine the impact of changes in the sales plan, cost reductions and stand-alone operations of both businesses.
Led a sales process of the business and negotiated an Article 9 sale to a strategic buyer.
During this engagement, Winter Harbor assessed The Rodon Group’s recent performance and forecasted year-end revenue results. We crafted financial models which were used, along with our business valuation, to successfully negotiate a new forbearance agreement with the Company’s asset-based lender. We facilitated the implementation of operational-improvement initiatives to enable the achievement of the Company’s annual budget and reduce overhead. Winter Harbor led payment plan negotiations with critical vendors on the Company’s behalf.