Case Study

Calaveras Vineyards In March 1994, Anne Clemens, a senior vice death chair at Goldengate Capital, received a loan proposal from tom Howell, a man agedness director with NationsBanks investment-banking group. The brochure described the prospective management acquisition of Calaveras Vineyards and solicited Goldengates participation in the $4.5 gazillion senior financing facility. The facility would consist of a $2 million term loan and a revolving credit of up to $2.5 million. Clemens needed to decide quickly whether the proposed terms were attractive, where to position Goldengate in this credit, and whether to offer a counterproposal on terms. Goldengate Capital was a monumental West Coast monetary institution with main activities in commercial lending, asset-based financing, leasing, mezzanine lending, and equity investing. Clemens had worked with Howell on a anterior deal, and participated in two other business deals structured by him. These proved to be very profitable deals for Goldengate, so Clemens plotted to give this new proposal careful study. NationsBank N.A. was the third largest financial institution in the United States. Calaveras Vineyards Calaveras Vineyards sat on 220 state in Alameda Valley, California.

The vineyards occupied 175 acres. The remaining acres consisted of non-homogeneous equipment sheds (to house the farming equipment), the winery building (containing storage tanks, aging barrels, and a small bottling operation), and a small farmhouse with guestrooms, offices, and the requisite mouthful and sales room. Exhibit 1 summarizes the major assets of the vineyard.[1] Esteban Calaveras founded Calaveras Vineyards in 1883 to get down wine for the Catholic Church. By the 1950s, the winery and vineyard had expand into the production of table wines for sale to retailers and restaurants. Through the 1960s and 1970s, the Calaveras family, who act to own the vineyards, made few changes despite dramatic branch in... If you want to get a full essay, order it on our website: Orderessay

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