Acquire U.S. Labor Intensive Business and Move Operations Across the Border

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May 01, 2023

by a searcher from The University of Texas at Austin - Red McCombs School of Business in Houston, TX, USA

Does anyone have any direct experience executing this type of transaction? I am exploring the art of the possible and while I am guessing that this is a rather atypical strategy for traditional search funds, I wonder if structured equity investors or lenders are open to this idea.
An illustrative example would be acquiring a manufacturer of propane tanks in the U.S., moving the manufacturing process somewhere near the border in Mexico (leverage IMMEX program), and keeping all administrative and sales functions in the U.S.
Again, I am just exploring out-of-the-box ideas and I am certainly not oblivious to the challenges associated with this particular strategy, but still curious whether someone has attempted or successfully executed this type of transaction before.
Thank you in advance for any constructive feedback and advice.

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Reply by a searcher
from The University of Chicago in Chicago, IL, USA
I know someone who specializes on this type of strategy. Feel free to DM me and I can make an intro.
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Reply by a searcher
from The University of Texas at Austin in Houston, TX, USA
Thank you, Carlo, I will send you a DM.
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