BACKGROUND
For more than 40 years, Salt Lake City-based Biotron Laboratories and Talus Mineral Company (Collectively “Biotron”) has been a leading manufacturer of premium specialty minerals, trace elements, and other solutions for the nutritional supplements industry.
CHALLENGE
After receiving a lot of inbound interest for an acquisition, Biotron’s investment bank, G2 Capital Advisors convinced them that they needed a quality of earnings (QofE) report. Based on the types of parties looking at buying Biotron, and because of the lack of auditing and accounting Biotron had internally, getting a QofE was essential for a sell-side transaction.
SOLUTION
With the help from Ampleo, Biotron was able to clean up its financials, merge Talus’ and Biotron’s financials, and became GAAP compliant. After this initial clean-up phase, Ampleo was able to deliver a clearer QofE report that better reflected Biotron’s business and gave them confidence as they went through the transaction process. Dave Johnson, CEO of Biotron said, “Before working with Ampleo, we thought we knew our business, but the work Ampleo provided gave us more confidence during the transaction process because we knew our numbers were accurate and it allowed us to negotiate better with buyers.”
CONTINUED SUCCESS
Aceto, a supplier of life sciences and advanced technology specialty ingredients, acquired Biotron Laboratories and Talus Mineral Company on March 2, 2022. Since the transaction, Biotron plans to continue to grow its brand to 50-75 million in revenue.
“For valuation and QofE, I think it is invaluable. I wish we would have come to Ampleo six months sooner. It would have helped us have a more complete picture going into the transaction process.”
– Dave Johnson, CEO at Biotron
