CDI Global – VaproShield Post-Close Case Study

The Clients Vision

For over two-decades, VaproShield has designed and manufactured high performance vapor permeable air barrier (AB) and water resistive barriers (WRB) membranes and accessories, creating a comprehensive approach to protecting the building envelope that leads to unprecedented savings. Two co-owners were seeking full liquidity and retirement post close.  It was important for the owners to engage an investment banking firm focused on founder owned businesses, but also with a strong track record with selling building products companies.

The Challenge

• The company was growing and entering a new line of business that could be a catalyst for dramatic growth.

• The founders desired liquidity/retirement while ensuring business continuity. 

• The company with its niche application and patent protected products would be ripe for both financial and strategic buyers – however runs an asset light model so valuation would be subject to buyer appetite.

• Sellers did not want to sell to some of the more obvious competitors, making CDI’s job more difficult to maximize value.

The Journey with CDI

• CDI’s Building products team positioned VaproShield as a scalable plug and play company to larger strategic as well as a platform with a strong management team for financial buyers.

• A global broad auction methodology was conducted engaging both strategic and sponsor-backed buyers.

• Continuous communication aligned shareholder interests and preserved deal momentum.  As first-time sellers, the VaproShield founders leaned heavily on CDI’s advice and coaching throughout the process which ensured alignment and resulted in finding the best fit for the VaproShield founders and management going forward.

“The sale of VaproShield was uncharted territory for my business partner and me. After 25 years of building the company, it was time to sell our ‘baby.  We had inquiries and interest from several major, well-known competitors. The CDI team brought process, structure, and invaluable insight into how to successfully navigate the sale. Through a very open and communicative approach led by CDI, a focused group of prospective buyers was developed. This disciplined and thoughtful process resulted in an excellent outcome for both us and the buyer.”  - Lee Snyder, Co-Managing Partner of VaproShield.

The Results

Focus on outcomes and transformation — both tangible and emotional.

• Leveraged building products knowledge to properly position the company

• Secured multiple offers from top-tier buyers across the various buyer universe categories.

• Achieved best-price, best-culture, and best-fit alignment.

• Delivered full liquidity for retiring founders and smooth succession internally to management at VaproShield.

The Legacy

Management will not only continue to run the company under the new corporate umbrella of Muncaster but will also assume additional responsibility for the Polyguard Construction division as the VaproShield brand continues to be rolled out throughout the industry.  Additionally, Muncaster is organized as an ESOP which was attractive to the selling shareholders as they wanted to see the entire employee group have equity ownership going forward and an opportunity for each of them to create future wealth.

Client Testimonial

Mr. Snyder added, “The skill and professionalism of the CDI team in guiding us through the entire process were exceptional. I cannot recommend a more qualified, professional group that truly understood our needs in the sale of VaproShield than CDI.  The transaction “validated the importance of having experienced, trusted advisors who know how to manage a competitive process while keeping all parties aligned toward a successful close.”