Mergers and Acquisitions: Sell Side for AVANTI Products

Avanti Products

  • Background:  Headquartered in Miami, FL, Avanti is an innovative leader in the consumer appliances industry, targeting the niche compact home appliances sector and offering consumers a complete line of products, including microwaves, gas and electric ranges, dishwashers, portable laundry machines, water dispensers, upright and chest freezers, and compact and mini-kitchens.
  • Cassel Salpeter:
    • Served as financial advisor to The Mackle Company, Inc. (owner of Avanti Products)
    • Ran a competitive sales process, identifying and contacting over 80 financial parties
  • Challenges:
    • Achieve significant price for family owner, while transitioning Avanti management team to minority ownership with private equity partners
    • Low growth business in a competitive space
  • Outcome:  In November 2012, Avanti was sold to the Avanti Management Team and Gen Cap America, Inc., a private equity firm based in Nashville, TN.

Mergers and Acquisitions: Sell Side for Wolper Subscription Services

Wolper Subscription services

  • Background:  Headquartered in Easton, PA, Wolper is a full-service information management resource, providing customized solutions for subscription management and related resources including print and electronic, foreign and domestic magazine and journal subscriptions, as well as books and e-books, databases, site licenses, and state-of-the-art information management tools.
  • Cassel Salpeter:
    • Served as financial advisor to the Company
  • Challenges:
    • Family business needing larger platform to continue to compete with growing U.S. competitors
    • Significant cultural differences with purchaser created many deal obstacles
  • Outcome:  In December 2012, Wolper Subscription Services, Inc. was sold to LM Information Delivery, a competitor of the company, with headquarters in Finland.

Mergers and Acquisitions: Sell Side for Gilman Ciocia

Gilman Ciocia

  • Background:  Headquartered in Poughkeepsie, New York, Gilman Ciocia provides financial planning, accounting, income tax preparation, and asset management services in the U.S.  Specifically, the Company provides financial planning services to individual investors, tax preparation services to individuals in the middle and upper income tax brackets and accounting services to small and midsize companies.
  • Cassel Salpeter:
    • Served as financial advisor to the Company
    • Ran a competitive sales process, identifying and contacting over 70 strategic and financial parties
    • Issued a Fairness Opinion in connection with the transaction
  • Challenges:
    • Positioned a unique public company with formally combined financial planning and tax preparation services on the same premises
    • Maximized value and provided an exit for private equity investors and shareholders, while maintaining stability amongst financial planners and tax professionals
  • Outcome:  In October 2013, Gilman Ciocia, Inc. merged with National Holdings Corporation, a financial services organization based in New York, NY.

Mergers and Acquisitions: Sell Side for The Lang Companies, Inc.

The Lang Companies, Inc.

  • Background: Headquartered in Waukesha, Wisconsin, The LANG Companies, Inc. is a leading supplier of specialty consumer and gift products, offering some of the most well-known brands in the industry.  Lang delivers innovative and exclusive products while holding licensing rights for several professional sports league, college, and other brands.   
  • Cassel Salpeter:
    • Served as exclusive financial advisor to the Company
    • Ran a competitive sales process, identifying and contacting over 150 strategic and financial parties
    • Provided assistance throughout all phases of the sales process, due diligence, and auction through closing
  • Challenges:
    • Undertaking the sale of a specialized niche business within the declining calendar segment of the consumer products industry.
    • Navigated the sale process after the company underwent several strategic changes due to successful and failed initiatives.
    • Maximized value and provided an exit for private equity investors and shareholders, while identifying a strategic partner looking to continue the legacy of the company.
  • Outcome: In July 2016, The LANG Companies, Inc. was sold to IG Design Group plc, a UK based designer and manufacturer of gift packaging and greetings, social expression giftware, stationery and creative play products.

Recapitalization for Boxycharm

Boxy Charm

  • Background:  Headquartered in Miami, FL, BOXYCHARM is the premier monthly beauty box subscription service, delivering 4-5 full-size and luxury travel-size products of well-known, popular, chic, and up-and-coming cosmetic brands.  BOXYCHARM’s unique value proposition is their ability to provide a combination of the newest and highest quality brands and products in full-size offerings, while most competitors offer sample-size products.
  • Cassel Salpeter:
      • Served as financial advisor to the Company
      • Ran a competitive capital raise process, identifying and contacting over 100 strategic and financial parties
      • Structured a minority recap and growth capital raise with a built-in option for a majority recap
  • Challenges:
    • Earn-out structure to increase valuation of capital infusion contingent on success-based performance benchmarks
    • Minority shareholder buyout
  • Outcome:  In February 2016, KarpReilly Investments, LLC invested in BOXYCHARM.  Subsequently, in October 2016, KarpReilly exercised their majority recap option.  KarpReilly is a private investment firm based in Greenwich, CT.

363 Sale for Dynavox, Inc.

Dynavox

  • Background: DynaVox, headquartered in Pittsburgh, PA, has become the industry standard in augmentative and assistive communication technology. DynaVox develops and markets software, devices, and content to assist people in overcoming their speech, language, or learning challenges.
  • Cassel Salpeter:
    • Served as financial advisor to the Company
    • Ran a competitive sales process, identifying and contacting over 90 strategic and financial parties
    • Provided assistance throughout all phases of the sales process, due diligence, and auction
  • Challenges:
    • Expedited sales timeline with only three weeks to identify and bring parties to auction
    • Less-than-cooperative secured lender
  • Outcome:  In May 2014, DynaVox, Inc. was sold to Tobii Technology AB, a Swedish-based technology company with offices worldwide.

Mergers and Acquisitions: Sell Side for S&H Solutions

Background:
Headquartered in Delray Beach, FL, S&H Solutions provides a software loyalty platform that enables retailers to create, manage, and enhance customer loyalty programs and deliver real-time, personalized marketing and shopper insights.  The Company is a descendant of S&H Greenstamps, widely known as the original loyalty marketing program that distributed billions of stamps that consumers collected and redeemed for merchandise.

Cassel Salpeter:
  • Was mandated to sell S&H on behalf of the parent company
  • Ran a competitive sales process, identifying and contacting over 100 strategic and financial parties
Challenges:
  • Potential contingent liabilities
  • Changing business model towards SaaS based revenue
  • S&H business relationship with parent’s other businesses
  • Non-core operation of parent, operating within a rapidly changing technology environment
Outcome: 
In April 2012, S&H Solutions was sold to ProLogic Redemption Solutions, a portfolio company of Marlin Equity Partners and one of the industry’s largest clearinghouses for manufacturer coupons.

Restructuring: Electrolytic Technologies Corporation

  • Served as financial advisor to the company and facilitated the deleveraging of its balance sheet via both a capital infusion and a debt-for-equity exchange offer with existing debt holders.
  • Manufacturer of equipment involved in the production of chlorine gas and bleach.

Mergers and Acquisitions: Buy Side for DadePaper

  • Served as financial advisor to the company completing 5 buy-side transactions over a 3 year period.
  • Foremost supplier of paper, plastic, chemical, foam, and janitorial supplies servicing the Eastern United States, Puerto Rico, and the Caribbean.

Mergers and Acquisitions: Sell Side for Quipp

  • Served as financial advisor to the company, completing its sale to ITW (Illinois Tool Works Inc.).
  • Designs, manufactures and installs material handling systems and equipment to facilitate the automated inserting, assembly, bundling and movement of newspapers from the printing press to the delivery truck.