Greif & Co. determined that, by positioning LC&D as the recognized leader in the large and expanding lighting controls industry, a robust auction process could be conducted with both strategic and financial buyers seeking to tap into the burgeoning lighting controls market.  We emphasized LC&D’s key competitive strengths which included its superior technical support and marketing capabilities, exceptional R&D and product innovation capabilities, and top-notch customer service. Further, we highlighted the company’s growing blue-chip customer base and the vast opportunity to penetrate attractive new markets. Current industry trends also favored LC&D, such as stringent energy conservation legislation in the U.S. and the exponential growth in the green building market. Acuity Brands, Inc. (“Acuity”) had approached LC&D before the process commenced, prior to Greif & Co.’s involvement. However, to ensure that our client obtained maximum value, we conducted a thorough auction process, leaving no stone unturned.

Acuity Brands ultimately grasped the brass ring, paying a price that was more than 80% higher than its offer prior to Greif & Co.’s retention as LC&D’s financial advisor.  Greif & Co. succeeded in getting Acuity Brands to pay a price that was exponentially greater than industry benchmarks by the skillful way it ran the sale process and by emphasizing to the buyer that LC&D’s energy-efficient, cost-saving lighting controls could serve as “leading blocker” to get Acuity Brands’ energy-consuming lighting fixtures into the same commercial buildings as LC&D’s controls. We successfully portrayed the combination of the two entities as creating one of the world’s leading lighting controls and energy management companies.

Greif & Co. consummated the sale of LC&D to Acuity at a significant premium to our client’s expectations. With the credit markets already in turmoil and in light of the high likelihood of an increase in capital gains taxes, we focused on closing expeditiously, working through the November and December holiday season. The transaction closed just in the nick of time—New Year’s Eve.