Finding profit potential in a struggling private equity portfolio company

Client Results Story

Opportunity
The new owners of DentalCo want to reverse its sudden drop in profits and loss of market share.
  • DentalCo, a worldwide leader in dental equipment manufacturing and distribution, was a non-core business for its parent company when it was purchased for a high multiple by VentureCo
  • After the purchase, DentalCo lost market share, suffered declining profitability and was rocked by management turnover
  • VentureCo asked Bain to restore DentalCo to profitability 

View Approach

Approach
Bain took a "full potential" approach to profit improvement, assessing opportunity across four major categories.

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View Recommendations

Recommendations
By streamlining its current business and restructuring in the future, DentalCo significantly improved returns for VentureCo.

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View Results

Results
The Bain plan for profit improvement of this portfolio company has beaten financial expectations in the short run and identified almost $1 billion in long-term profit potential.

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