When Every Step Matters, a Differentiated Advisor Changes Everything

Meet the PE-Backed CEO of EcoInteractive  

{Jessie Yu:} I’m Jessie Yu, former CEO and current president of EcoInteractive. Alpine Investors wholly owned us, and we offer industry-leading SaaS solutions that help government agencies improve capital program management outcomes. EcoInteractive was sold to a KKR-backed company, mdf commerce, under the guidance of SEG.

I was very delighted that we got to meet the whole SEG team.

But what stood out in that process was just how thoughtful, authentic, well-prepared, and knowledgeable the entire team was, and in a way that was clearly different than others who came.

We Had to Make a Complex Story Easy for Buyers to Understand

{Jessie Yu:} The SEG team helped us craft the narrative around how to describe the opportunity with having these two different lines, but also that they are in some ways the same fundamental platform. So, when you think about messaging, how do you simplify that? So it’s not too complicated for buyers to understand at first glance.

The Part of the Process You Don’t Think About

{Jessie Yu:} Any process puts a lot of demand and pressure on the leadership team to run two jobs at once, your day job and the exit process. When things got really intense, I think that’s where you can also see a lot of value for having an advisor who can help you understand the priorities, manage expectations across different key stakeholders, and good planning means you won’t be rushing in to do preparations, but you’ve done a lot of that upfront.

So the proactiveness of having an advisor tell you, “Here’s what you need to be doing because we know how long this can take,” was very helpful.

The Value of Industry Expertise

{Jessie Yu:} SEG has completed numerous transactions in the industries they operate in, which means they understand the buyer landscape. That means they knew how to exercise judgment when we lean in with certain opportunities or risks, and we’re proactive in addressing those. That can only come from understanding buyer dynamics, what they’re really trying to get at, and how to press their buttons.

On the other hand, having a lot of credibility with these industry buyers, who have seen the firm take high-quality assets to market through prior transactions, we need to show up the right way, participate earnestly, and establish a strong relationship with SEG. That all came to bear when you saw the outcome, and that is that SEG has strong buyer relationships that could help us also drive competitive attention in a very distinguished way.

Proactive communication was key to managing this process as smoothly as possible for all stakeholders. SEG played a critical role as the central communication hub, where all vital news was disseminated.

SEG had a very clear project plan outlining how the process would unfold and what the timelines and milestones were. What gave confidence to not just the board but to the rest of us was that we kept to that timeline. When you start to slip past milestones, that’s when you start to worry, “Are we going to get this done?” But that never happened. And that all comes down to having rigor, as well as attention and diligence from their team, to ensure that all parties were pursuing their workstream on time. I can really say that throughout the whole process, we never missed a deadline.

My Advice to PE-Backed CEOs Considering an Exit

{Jessie Yu:} I would advise everyone to hire an M&A advisor if they’re considering running a process or going through a transaction. A great advisor, bringing their network and expertise, can add significant value. If you consider the ultimate outcome in terms of returns to your investors, the cost will more than pay for itself if you achieve a great, successful outcome.  

Three Things That Differentiate SEG from Other Advisors

{Jessie Yu:} They did what they said, and they said what they did, which is to say a lot of firms might come to you with a really rosy picture of how the process will run. SEG came with a very realistic picture and then one that they actively enforced, helping us meet milestones on time and keeping momentum with all the buyers.  

Two, it was around their depth of knowledge with our industry, their ability to craft our position uniquely, and having buyer insights that were relevant to who would be at the table for us.

The third was just how well the entire team showed up at all levels. There are different parts of the process where we need strategic thinkers, detailed attention to analysis, and effective stakeholder management. No matter what time it was, we had proactive team members on SEG who would play their part and were accessible and responsive to our needs.  

We were really well taken care of, and they had our best interests at heart at all times. At the same time, they ran a firm and rigorous process that ensured we’d have a successful outcome. So, I think all of those things put together just mean I would love to work with SEG again. I would definitely recommend SEG to other CEOs.