Decide4Action Acquires ProAxion
Not all M&A deals are straightforward. Sometimes obstacles crop up during the M&A process that can potentially kill a deal. However, the chances of overcoming those obstacles increase substantially when there is a positive relationship between the seller and the buyer. That sort of relationship engenders a spirit of creativity and resilience that can resolve problems. A good example of this occurred during the M&A process that ultimately resulted in the recent sale of Corum client ProAxion, a leader in predictive maintenance solutions in industrial environments, to Decide4Action, a provider of integrated manufacturing intelligence and decision-making software.
A good fit
ProAxion was a small but growing company with a patented IoT platform that remotely captures and analyzes data, such as vibration and temperature, about a machine’s performance. Significantly, the analysis can provide an early warning of predicted machine failure. The goal is to reduce unplanned downtime in production facilities, something that is a fifty billion dollar a year problem in the United States alone.
The company was founded in 2015. However, by 2024 the company's investors decided it was time to take advantage of an exit. And so ProAxion's CEO, Eric Murray, approached Corum in April 2024 to be its M&A advisor. Corum sent out initial mailings to prospective buyers and received 12 NDAs in return.
One of those interested buyers, Decide4Action viewed ProAxion's platform as a good fit for its software solutions, envisioning an integrated manufacturing intelligence platform by adding ProAxion's capabilities to its industrial software suite.
With those interests in mind, Decide4Action made an all-cash offer to acquire ProAxion. The offer was accepted and the M&A process proceeded as planned. Due diligence went smoothly and the deal appeared headed toward a successful conclusion. However, a week before the scheduled closing the deal process was halted by a significant and unexpected snag.
The snag and its resolution
Decide4Action relied on a Small Business Administration (SBA) loan guarantee for part of its funding for the deal. However, that source dried up because of changes made by the Department of Government Efficiency (DOGE). This was unanticipated by the buyer and happened at a crucial time in the M&A process. Decide4Action tried to once again secure funding from the SBA, but it failed.
That obstacle could have killed the deal. However, because an excellent relationship had been established between ProAxion's CEO, Decide4Action's CEO, and Corum's M&A advisors, they conceived of a creative approach that allowed the process to continue to a successful closing.
Instead of the original cash-only deal, which would have required SBA funds, the offer was changed to a mixture of cash from the buyer, a bank loan, and a secured note from the seller that matured in two years. The deal closed on October 8, 2025.
The key lesson
Ivan Ruzic, who was Corum's lead advisor for the deal, says, “The key lesson here is if there is goodwill and really strong relationships between the seller and buyer, they will find a way to get the deal done." The transaction was a positive strategic move for both companies, and Ruzic notes that both the seller and buyer were very satisfied with the result.