Our clients are corporations, financial institutions and institutional and individual investors mostly from the United States, Europe, Latin America and Australia.
The business situations in which we become involved for our clients, either for transaction management or investor representation services, are generally domiciled in South America, principally Argentina, Uruguay, Chile and Peru.
The following cases, derived from our professional experience, illustrate prospective business situations and the role of Mountmill Partners on behalf of our client.
+ Privately Held Company – A rapidly growing Latin American company is preparing to raise equity through a private placement of preferred stock. The members of management cannot divert sufficient focus from running the day-to-day operations as to handle effectively the organization and execution of the private placement transaction.
Mountmill Partners is retained to assist management in the implementation of the transaction, providing hands-on support in the coordination of internal resources and the company’s external advisors including its investment bank and legal and accounting advisors. We become a “member of management” as the transaction is completed, assisting in all aspects through to closing. This example of transaction management and advice applies to other business situations, such as bank financings, mergers, divestitures, debt restructurings, joint ventures or project financings.
+ Institutional Investor – An asset management company based in the United States has acquired a substantial position in the debt securities of a Latin American corporate issuer that is unable to meet its payment obligations. The institutional investor is considering the conversion of its position into equity and, eventually, participation in the management of the company. The investor does not have a presence in the Latin American country and is looking for professional local business representation.
Mountmill Partners is retained to represent the business interests of the investor with respect to the issuer and other creditors; to provide a domestic market insight and advice on the operations of the issuer, as well as on the regulatory and political environment; in the event of a change of control, to give advice on the management of the issuer and corporate governance; to represent the investor on the board of directors; and, in general, to act as the investor’s local “eyes and ears” in terms of providing hands-on management support in the overall process.
+ Minority Shareholder – Company A is acquiring Company B of Argentina in a merger transaction. Management of Company B has retained an investment bank that reports to its board of directors. Our prospective client is a minority shareholder of Company B, whose interests may not necessarily be taken into account in the proposed recommendations of the investment bank.
Mountmill Partners is retained by the minority shareholder investor to review the transaction, advise on its merits, propose appropriate courses of action and assist in the negotiations. In giving advice and supporting the client, our firm only has the client’s interests in mind.