Royce G. Yudkoff

Senior Lecturer of Business Administration

Unit: Finance

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(617) 495-2589

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Royce Yudkoff is a Senior Lecturer at the Harvard Business School and a General Partner and co-founder of ABRY Partners, LLC in Boston, MA. Royce currently co-teaches a course called Financial Management of Smaller Firms.

In 1989, Royce co-founded ABRY Partners, a private equity firm focused on the media, communications and business and information services markets. Since 1989 the firm has completed over $27 billion of leveraged transactions and other private equity investments involving approximately 450 properties. Over this period Royce has also served on numerous private and public corporate boards.

Royce graduated from the Harvard Business School in 1980 as a Baker Scholar and is an honors graduate of Dartmouth College.

Publications

Cases and Teaching Materials

  1. Gemini Investors

    Richard S. Ruback and Royce Yudkoff

    Gemini Investors was a private equity firm focused on small and lower middle market businesses. Gemini's target investment size was between $4 million and $6 million and a typical portfolio company had revenue of between $8 million and $30 million. In early 2010, Gemini was completing the investment of Gemini's Fund IV and it was deciding whether it should raise a fund sized similarly to their prior funds, or alternatively, raising a significantly larger fund.

    Keywords: Private Equity; Investment; Investment Funds; Markets; Size; Financial Services Industry; United States;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Gemini Investors." Harvard Business School Case 211-066, February 2011. (Revised June 2013.) View Details
  2. Lind Equipment

    Richard S. Ruback and Royce Yudkoff

    Lind Equipment failed to meet its loan covenants with its senior bank lender in the summer of 2008, just six months after it was acquired. While the senior bank debt comprised only 6% of the capital used in the acquisition and was fully secured, it exercised its right to stop payments to Lind's subordinated lender that funded about 40% of the acquisition, pushing that debt into default as well. These financial problems were the result of declining revenues and profits at Lind as exchange rates and the impact of the Great Recession took its toll on the firm. Without a quick solution, Lind could be pushed into bankruptcy.

    Keywords: Financial Condition; Borrowing and Debt; Capital; Revenue; Financing and Loans; Financial Strategy; Financial Management; Acquisition; Financial Crisis; Currency Exchange Rate; Insolvency and Bankruptcy; Manufacturing Industry; Industrial Products Industry;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Lind Equipment." Harvard Business School Case 212-012, August 2011. (Revised June 2013.) View Details
  3. National Public Broadcasting

    Richard S. Ruback and Royce Yudkoff

    Bob Williams, the CEO of National Public Broadcasting (NPB), was considering an unsolicited offer to purchase the company in the early spring of 2006. The company was a media underwriting representative for public television and radio stations throughout the United States. When Mr. Williams and his wife Linda Williams started NPB in 1996, they had imagined that it would grow quickly and be acquired by a larger media representation firm in a few years. But the business proved to be more complex than they had anticipated with slower growth and less interest from strategic acquirers and, as a result, Mr. Williams had been running NPB ever since. The unsolicited offer gave the Williams and their partners the potential opportunity to realize a significant cash payment for the business. The case explores the impact on the sale of the ownership structure decisions that were made when NPB was formed and the complexity of the sales process for small businesses.

    Keywords: Mergers and Acquisitions; Decision Choices and Conditions; Financial Management; Ownership; Advertising Industry; Media and Broadcasting Industry;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "National Public Broadcasting." Harvard Business School Case 211-058, January 2011. (Revised July 2012.) View Details
  4. Greg Mazur and the Purchase of Great Eastern Premium Pet Foods

    Richard S. Ruback and Royce Yudkoff

    Greg Mazur decided to purchase a small business after graduating from the Harvard Business School. The case explores his decision about whether or not he should finalize his deal to purchase Great Eastern Premium Pet Foods, Inc. ("GEPP"). It gives students the opportunity to consider his search process, his due diligence about the company, his post-purchase plans, his valuation analysis and the structure of the potential transaction.

    Keywords: Mergers and Acquisitions; Entrepreneurship; Financing and Loans; Negotiation Deal; Negotiation Preparation; Strategic Planning; Valuation;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Greg Mazur and the Purchase of Great Eastern Premium Pet Foods." Harvard Business School Case 211-085, February 2011. (Revised June 2013.) View Details
  5. Nashton Partners and its Search Fund Process

    Richard S. Ruback and Royce Yudkoff

    Nashton Partners was a search fund founded by two HBS MBA's that raised $500,000 to finance a search for a company that they could purchase and then run for the next five to ten years. The case examines the search fund structure, the two-year search, and two potential acquisitions.

    Keywords: Mergers and Acquisitions; Capital Structure; Financing and Loans; Investment Funds; Partners and Partnerships;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Nashton Partners and its Search Fund Process." Harvard Business School Case 212-006, July 2011. (Revised July 2012.) View Details
  6. Marlin & Associates and the Sale of Riverview Technologies

    Richard S. Ruback and Royce Yudkoff

    Riverview Technologies was a Stockholm, Sweden-based company that had developed software hedge funds. After spending more than a year in an organized sale process, the winning bidder had become increasingly difficult to work with and the closing had been substantially delayed. Despite the late stage of the process, the selling shareholders were considering walking away.

    Keywords: Mergers and Acquisitions; Entrepreneurship; Negotiation Deal; Negotiation Offer; Negotiation Process; Financial Services Industry;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Marlin & Associates and the Sale of Riverview Technologies." Harvard Business School Case 211-083, February 2011. (Revised May 2011.) View Details
  7. Red Hen Baking Company

    Richard S. Ruback and Royce Yudkoff

    In 2007, the Red Hen Baking Company was deciding whether to move from its cramped and inefficient facility to a new facility. It had been in business about 8 years, and 2006 was the first year RHB realized a profit that was over $50,000. The added annual cost of the new location was about $58,000 and would require a $300,000 build-out. While the owner of Red Hen was excited about the possibility of a new, efficient bakery, he wondered if it was worth the added expense and risk.

    Keywords: Entrepreneurship; Capital; Risk Management; Expansion;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Red Hen Baking Company." Harvard Business School Case 211-091, March 2011. (Revised June 2013.) View Details
  8. Triple Point Technology

    Richard S. Ruback and Royce Yudkoff

    The founding CEO of Triple Point Technology, Peter Armstrong, was considering the sale of the company. The company specialized in providing its clients with software used for transaction processing and risk management in various commodity markets. Triple Point Technology had grown substantially in its 13 years of existence and potentially was a source of a significant amount of wealth for its owners. The sale was prompted by a co-founder who wanted to sell his share of the business. The case explores the rationale for owners to monetize at least a portion of their company's value, the sales process, and compares two different offers from the perspective of the company's executives that will have a significant continuing interest in it.

    Keywords: Business Exit or Shutdown; Private Equity; Financial Management; Negotiation Offer; Sales; Valuation;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Triple Point Technology." Harvard Business School Case 211-057, December 2010. (Revised January 2013.) View Details
  9. Executive Compensation at Talent Partners

    Richard S. Ruback and Royce Yudkoff

    Talent Partners' CEO was very successful at growing the business and establishing its leadership position. He was compensated with a mix of salary and options and he did not own any equity in the company. The options were set so that if Talent Partners achieved its financial plan over the next five years, about half of his total compensation would come from the options.

    Keywords: Executive Compensation; Equity; Stock Options; Managerial Roles; Growth and Development Strategy;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Executive Compensation at Talent Partners." Harvard Business School Case 211-073, January 2011. (Revised June 2013.) View Details
  10. Talismark

    Richard S. Ruback and Royce Yudkoff

    Talismark, which helped its customers manage their waste, was considering re-engineering its business fundamentals to dramatically increase profitability by changing its sales and information processes. Implementing the changes would be expensive and would interrupt its new customer acquisition efforts, and it would be 18 months until the company could begin to acquire new business. The case explores the rationale and consequences of re-engineering a business.

    Keywords: Transition; Decision Choices and Conditions; Profit; Growth and Development; Information Management; Business Processes; Organizational Change and Adaptation; Sales; Utilities Industry;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Talismark." Harvard Business School Case 211-097, April 2011. (Revised July 2012.) View Details
  11. Next Street, LLC

    Richard S. Ruback and Royce Yudkoff

    Next Street Financial, LLC was a modern merchant bank that provided high quality advisory services and capital to small- and mid-sized inner city businesses. Next Street was a for-profit business that aimed to increase the growth, profitability and success of its client companies, thereby enhancing economic development, wealth and job creation in the inner city. The advisory component of its mission seemed well underway but raising a fund to directly finance client companies had proved challenging. As Next Street considered expanding its capacity to help clients achieve their growth potential, the firm was deciding between raising a fund or focusing its resources on expanding its abilities to more effectively help its clients obtain financing from other institutions.

    Keywords: Development Economics; Entrepreneurship; Capital; Commercial Banking; Investment Funds; Urban Development; Financial Services Industry;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Next Street, LLC." Harvard Business School Case 211-094, March 2011. (Revised June 2013.) View Details
  12. Businesses for Sale by Briggs Capital, 2010

    Richard S. Ruback and Royce Yudkoff

    Briggs Capital was a regional mergers and acquisitions advisory firm that helped owners to sell their small firms. The case presents a company that was for sale in the fall of 2010—a troubled manufacturer of post and beam style homes and log homes. Using the actual information that was available to potential buyers, students evaluate the potential acquisition.

    Keywords: Mergers and Acquisitions; Business Exit or Shutdown; Entrepreneurship; Financial Condition; Investment; Financial Services Industry; Boston;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "Businesses for Sale by Briggs Capital, 2010." Harvard Business School Case 211-088, February 2011. (Revised June 2013.) View Details
  13. ALAC International

    Richard S. Ruback and Royce Yudkoff

    ALAC was a small importer of specialty industrial chemicals. The case explores the different financing alternatives to facilitate the company's explosive growth in working capital. At the end of 2009, the company was awarded the United States distributorship for the specialty chemical di-isononyl phthalate (DINP) from a large Taiwanese producer and had almost tripled its sales in 2010. It expected to double its sales in 2011 and to dramatically increase its profits. ALAC critically needed to obtain financing for the explosive growth in its inventory and accounts receivable balances.

    Keywords: Working Capital; Growth Management; Financing and Loans; Chemical Industry;

    Citation:

    Ruback, Richard S., and Royce Yudkoff. "ALAC International." Harvard Business School Case 211-065, February 2011. (Revised June 2013.) View Details