A Plant Closing Solution “Rich” in Value
The Challenge
Rich Products was closing a food manufacturing plant and wanted to sell the 56,100 square-foot facility that was located on six acres of land. It was a necessary move in the name of efficiency and cash flow. Unfortunately, Rich was receiving offers that were significantly less than anticipated, and taking a loss on the property was not a desired outcome.
How Icon Uncovered Value
ICON bought the facility for above-market value, paying $3 million, allowing Rich to recover far more value than the open market would yield. In return, ICON issued trade credit that Rich could use over time to purchase advertising and other services the company used in its normal course of business.
In 1945, Rich Products Corporation
was born from an innovation – the world’s first non-dairy whipped topping.
The Results
Rich is now using the trade credit to reduce cash outlay on regularly budgeted business expenditures.
