Background: Sancilio Pharmaceuticals Company, Inc. (“Sancilio”), based in Riviera Beach, FL, is an integrated specialty pharmaceutical company that develops, manufactures, and commercializes pharmaceutical products, over-the-counter and behind-the-counter products, and dietary supplements in the dental and women’s health markets.
Cassel Salpeter:
Served as financial advisor to the Company
Ran a competitive sales process, identifying and contacting over 300 strategic and financial parties
Provided assistance throughout all phases of the Chapter 11 Section 363 sales process, due diligence, and auction
Challenges:
Expedited sales timeline with less than six weeks to identify and solicit interest from potential bidders
Simultaneous, multiple sales processes for different divisions of the Company
Outcome: On August 1, 2018, the Ocean Blue division of Sancilio Pharmaceuticals Company, Inc. was purchased by K.D. Pharma Bexbach GmbH, headquartered in Bexbach, Germany.
https://www.casselsalpeter.com/wp-content/uploads/2019/11/SCI_logo.jpg250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2018-08-02 17:28:312020-12-08 14:37:32Sancilio sold certain assets to K.D. Pharma Bexbach
Background: Sancilio Pharmaceuticals Company, Inc. (“Sancilio”), based in Riviera Beach, FL, is an integrated specialty pharmaceutical company that develops, manufactures, and commercializes pharmaceutical products, over-the-counter and behind-the-counter products, and dietary supplements in the dental and women’s health markets.
Cassel Salpeter:
Served as financial advisor to the Company
Ran a competitive sales process, identifying and contacting over 300 strategic and financial parties
Provided assistance throughout all phases of the Chapter 11 Section 363 sales process, due diligence, and auction
Challenges:
Expedited sales timeline with less than six weeks to identify and solicit interest from potential bidders
Simultaneous, multiple sales processes for different divisions of the Company
Outcome: On August 8, 2018, Altemia and the ALT Platform, a Phase III ready product for the treatment of sickle cell disease; a prenatal and dental portfolio of prenatal vitamins and fluorides; and the plant and labs of Sancilio Pharmaceuticals Company, Inc., were purchased by Micelle Biopharma, Inc.
https://www.casselsalpeter.com/wp-content/uploads/2019/11/SCI_logo.jpg250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2018-08-02 17:25:072020-12-08 14:37:41Sancilio sold certain assets to Micelle Biopharma
Background: Convert IT Marketing, LLC (“Convert”), founded in 2011 and based in Ft. Lauderdale, FL, provides outsourced pay-per-click marketing solutions for local law firms in specialty practices throughout the U.S. Convert IT’s unique and proprietary strategies deliver superior performance to its 500+ customers in terms of cost and quality of leads, placing it in the top 1% of all digital marketers serving the legal vertical.
Cassel Salpeter:
Served as exclusive financial advisor to the Company in its divestiture of the Neo Urinary conduit assets
Ran a competitive sales process, identifying and contacting strategic and financial parties
Provided the owner with advice from pre-engagement to post-close
Challenges:
Limited buyer universe
Multiple offers ahead of the completion of initial calls
Outcome: On August 31, 2018, Convert IT was purchased by Abbey Road Capital.
https://www.casselsalpeter.com/wp-content/uploads/2019/11/Convert-IT_logo.jpg250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2018-08-01 17:16:532020-12-08 14:37:48Convert has been acquired by Abbey Road Capital
Background: CORD:USE Cord Blood Bank (“Cord”), based in Orlando, FL, owns and operates a cord blood bank that focuses on building an inventory of umbilical cord blood stem cell units for patients in need of a life-saving transplant.
Cassel Salpeter:
Served as financial advisor to the Company
Advised Cord in evaluating its strategic options and provided assistance throughout the due diligence and closing process
Ran a broad sales process, contacting 115 parties
Challenges:
Small footprint – Marketing in select markets
Sizeable amount of debt
Complex capital structure
Outcome: In June 2018, Cord was acquired by Cryo-Cell International, Inc. The upfront consideration consisted of cash and shares of Common Stock with the potential for contingency cash payments based upon pre-determined milestones.
https://www.casselsalpeter.com/wp-content/uploads/2019/11/Corduse_logo.jpg250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2018-06-01 17:29:412020-12-08 14:38:31CORD:USE has been acquired by Cryo-Cell International
Background: Lakewood Organics (“Lakewood”), based in Miami, FL, is an independent family juice company bottling a diverse line of pure organic and premium fruit juice products. Founded in 1935, Lakewood takes great pride in being a responsible steward of the Lakewood brand and holds true to its mission to provide the best quality juices to its customers.
Cassel Salpeter:
Served as financial advisor to the Company
Advised Lakewood in evaluating its financing options and provided assistance throughout the due diligence and closing process
Ran a targeted debt raise process, contacting 18 lenders
Challenges:
Assets held by different entities including the operating business, intellectual property, and real estate
Expedited timeline to close
Outcome: In May 2018, Lakewood Organics received senior debt financing from Fifth Third Bank to help support the Company in its pursuit of numerous growth initiatives.
https://www.casselsalpeter.com/wp-content/uploads/2018/07/Screen-Shot-2018-07-02-at-1.03.20-PM.png250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2018-05-01 17:04:082020-12-08 14:38:41Lakewood Organic received senior debt financing from Fifth Third Bank
Background:Systems 2000, Inc. (“Sys2k”) is a SaaS business that provides a mission-critical dealership management system for the specialty vehicle market, including RV, marine, auto, heavy duty trucks, bus and emergency vehicles. With over 350 customers throughout the U.S. and Canada and a strong recurring revenue base, the Sys2k platform is highly regarded due to its true multi-company, multi-location system offering full DMS capabilities across all departments of a dealership.
Cassel Salpeter:
Served as financial advisor to the Company
Ran a limited sales process, contacting 19 specifically targeted financial and strategic buyers
Challenges:
Management required guidance and support to satisfy due diligence requests due to small size and limited resources
Outcome: In March 2018, Sys2k was 100% acquired by Serent Capital, broadening their portfolio of system-of-record software businesses and automobile technology investments.
https://www.casselsalpeter.com/wp-content/uploads/2018/04/SYS2k.jpg250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2018-03-01 18:30:112020-12-08 14:38:47Sys2k has been acquired by Serent Capital
Background:Norquay Technology, Inc. (“Norquay”) is a specialty chemical manufacturer with over 30 years of expertise in providing the scale-up and production of advanced proprietary custom materials, including organometallic, inorganic, and organic molecules. Norquay’s product line includes chromic, electronic, catalyst, ligand, medical adhesive, and UV performance products, with a customer base that ranges from startups to large multi-national corporations.
Cassel Salpeter:
Served as financial advisor to the Company
Ran a competitive sales process, identifying and contacting over 60 financial and strategic partners
Challenges:
Balancing owner’s objectives to maximize value while preserving company culture
Complexity of the specialty chemical industry and navigating the strict environmental regulations
Outcome: In December 2017, Norquay was acquired by MPD Chemicals, a portfolio company of Addison Capital Partners, broadening MPD’s specialty chemical manufacturing capabilities; Norquay’s owner now holds a minority equity stake in MPD.
https://www.casselsalpeter.com/wp-content/uploads/2018/04/Norquay_logo.jpg250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2017-12-01 19:25:542020-12-08 14:38:53Norquay has been acquired by MPD Chemicals, a portfolio company of Addison Capital Partners
Background:Trucker Path, Inc., is a leading software platform for the trucking industry. Trucker Path’s core product is the Trucker Path app, a trip planning companion for truck drivers, enabling a large driver community to assist each other in updating the real-time status of relevant points-of-interest on their route. Expanding on the success of the Trucker Path app, Trucker Path also introduced the Truckloads app, a mobile marketplace providing freight load matching with over 3 million loads posted monthly.
Cassel Salpeter:
Served as the exclusive financial advisor to the Company
Ran a competitive sales process contacting approximately 50 potential strategic acquirers, resulting in 6 indications of interest
Challenges:
The Company had a solid user base and software platform, but had not monetized the assets well
Company management and board dynamics
Outcome: In December 2017, Trucker Path was acquired by Renren.
https://www.casselsalpeter.com/wp-content/uploads/2018/04/Screen-Shot-2018-04-03-at-2.42.12-PM.png250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2017-12-01 18:43:492020-12-08 14:38:59Trucker Path has been acquired by Renren
Background: Diversified Aero Services, Inc. (“DASI”) is a full-service aftermarket surplus aircraft parts supplier based in Miami, Florida with additional facilities in London and Singapore. DASI specializes in all of the major aircraft platforms, including Airbus, Boeing, Bombardier, and Embraer, offering customers a comprehensive and diverse portfolio of high-quality consumables and rotables from the “nose to the tail.”
Cassel Salpeter:
Served as financial advisor to the Company
Ran a competitive capital raise process, identifying and contacting over 100 financial parties
Structured a minority recap combined with growth capital to expand its footprint and accelerate the purchase of bulk inventory
Challenges:
Substantive ABL lender in place, which increased the difficulty of raising certain forms of capital
Negotiated and executed on a complex “drop-down” transaction structure to optimize tax implications and future operations
Outcome: In July 2017, a global private equity firm purchased a minority interest in DASI, while committing to a substantial follow-on investment amount.
https://www.casselsalpeter.com/wp-content/uploads/2019/11/Dasi_logo.jpg250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2017-07-01 17:34:022020-12-08 14:39:06DASI received growth capital from A Global Private Equity Firm
Background: NephroGenex, headquartered in Raleigh, NC, is a specialty pharmaceutical Company that focused on the development of therapeutics to treat kidney disease. Based on financial considerations, the firm decided to pause its two key programs: 1) its Phase III clinical program for oral Pyridorin for the treatment of diabetic nephropathy and 2) its Phase I ready program for IV Pyridorin for the treatment of acute kidney injuries.
Cassel Salpeter:
Served as the exclusive financial advisor to the Company
Served as restructuring advisor to debtor in a bankruptcy matter, identifying and contacting over 275 strategic and financial parties
Challenges:
Drug failed to show a significant effect over the placebo in Phase III clinical trails
Complexity and duration of bankruptcy proceedings
Outcome: On May 10, 2017, the United States Bankruptcy Judge for the District of Delaware entered an order confirming the Sale pursuant to a Plan of Reorganization under Chapter 11 of the Bankruptcy Code. The plan became effective on May 24, 2017.
https://www.casselsalpeter.com/wp-content/uploads/2019/11/NephroGenex.jpg250250roaradminhttp://www.casselsalpeter.com/wp-content/uploads/2021/05/CS-Logo-for-Assets-Post-10-Year-Branding_Website_04.28.21_Draft01.pngroaradmin2017-05-01 17:35:072020-12-08 14:39:11NephroGenex sold assets to Medpace Research