The Mirus Special Situations Group
Aztec Technology Partners (NASDAQ: AZTC)
Aztec was formed as a roll-up of technology services businesses that acquired those businesses using a significant amount of financial leverage. After an initial public offering, a variety of factors including multi-year earn-outs for the founders resulted in a failure to integrate the business units and achieve the projected synergies. As a consequence, the company defaulted on several performance-oriented debt covenants. In order to pay down debt and comply with the terms of a forbearance agreement, the Special Committee of the Board of Directors engaged Mirus to sell two of the company’s operating subsidiaries, PCM, Inc. (Chicago) and McDowell-Tucker (Dallas).
Within three weeks of becoming engaged with Aztec, Mirus had completed offering memoranda for each of the businesses and began talking with prospective buyers. Mirus received offers for each of the businesses within the first 90 days of the engagement, and completed each of the divestitures soon thereafter.