Background: A legal discovery company was a failed roll-up with an unhealthy capital and expense structure.
Over 60% of the company's revenue was paper-based and customer conversion to electronic services was ineffective. The company's most
important asset was its reputation as a top-20 electronic discovery company based upon its role in the high-profile Enron litigation.
Solution: At the request of the principal investor, a restructuring plan was developed to build the discovery
company into a knowledge-based e-discovery company - including revamping its sales force, reducing its real estate footprint, outsourcing
the physical processing of paper, and adopting best-of-breed technology solutions. At the same time, the investor group provided additional
capital and the lender converted its debt to equity.
Result: The restructuring plan transformed the company from a paper-based distributed processing organization
into one of the country's top electronic discovery companies with centralized processing and a distributed sales force.
