News

NEWS & ANNOUNCEMENTS

10.17

Periculum Advises JBS United, Inc. in the sale of its western Illinois grain business to Bunge-SCF Grain, LLC.

Periculum Capital Company, LLC (“Periculum”) is pleased to announce that it acted as the exclusive financial advisor to JBS United, Inc. (the “Company”) in the sale of its western Illinois grain business (“JBS United Grain West”) to Bunge-SCF Grain, LLC (“Bunge-SCF”).

JBS United’s core business is the research, development, and production of animal nutrition solutions, which has no direct connection to the grain origination and storage business. Given that, and the Company’s desire to significantly grow in the nutrition segment, JBS United decided to divest its grain business to free up management’s time and reallocate funds to additional nutrition research and development.

JBS United selected Periculum to lead the sale engagement because of the firm’s focus, extensive experience, and contacts in the food and agricultural markets. Periculum ran a formal process, focused on both domestic and international strategic buyers seeking entrance or expansion in western Illinois. Following an extensive review, the Company determined that the best candidate to acquire its western Illinois grain operations was Bunge-SCF. Steve Biddle, Vice President of the Grain Group, added, “Through Periculum’s experience, connections, and process we were able to attract buyers with significant strategic interest in our grain assets – both people and facilities. Each deal presents its own unique challenges, but through those challenges, Periculum delivered an outcome that would have been unattainable without their expertise.”

JBS United Grain West is comprised of three grain storage and merchandising facilities located in Griggsville, Pittsfield, and New Canton, Illinois with significant storage capacity and a team of highly experienced grain personnel. The elevators are strategically positioned with access to multiple markets along the Norfolk Southern railroad.

Bunge-SCF Grain LLC, a joint venture between Bunge North America and SCF Agri/Fuels LLC, was created to provide improved infrastructure to serve growing demand for commodities in the U.S. and export markets. The partners include Bunge North America, the North American operating arm of Bunge Limited (NYSE: BG), which buys, sells, stores and transports grains and oilseeds to serve customers worldwide, and SEACOR Holdings Inc.’s subsidiary, SCF Agri/Fuels LLC, which specializes in the purchase, storage, transportation and sale of agricultural and energy commodities.

10.17

Periculum Advises DRT Holdings, Inc. in the sale of its Medical Subsidiary to NN, Inc.

Periculum Capital Company, LLC (“Periculum”) is pleased to announce that it acted as the exclusive financial advisor to DRT Holdings, Inc. in the sale of its wholly-owned subsidiary DRT Medical, LLC (“DRT Medical” or the “Company”) to NN, Inc. (NASDAQ: NNBR) (“NN”).

DRT Medical was incorporated in 2005 after DRT Holdings entered the medical supply market. Today, the Company is a leading supplier of precision manufactured medical instruments and orthopedic implants to many of the largest global medical device OEMs.

DRT Holdings decided to sell the medical portion of its business to focus on its container and power systems businesses. Periculum was engaged to find a buyer that would not only meet valuation expectations, but also provide the knowledge and resources to continue to grow the Company. Following a targeted marketing process, DRT Holding’s President and CEO, Gary Van Gundy, determined that the best option was to sell the Company to NN. He reflected on the positive outcome, stating, “Periculum did an excellent job of finding a strategic acquirer who was looking for the expertise our company offered in this segment of the medical industry.”

NN is a publicly-traded diversified industrial company based in Johnson City, Tennessee. It combines advanced engineering and production capabilities with in-depth materials science expertise to design and manufacture high-precision components and assemblies for a variety of markets on a global basis. NN has 36 facilities throughout North America, Western Europe, Eastern Europe, South America, and China.

03.17

Periculum Advises Phoenix Fabricators and Erectors, Inc in its Partnership with Union Capital Associates

Periculum Capital Company, LLC (“Periculum”) is pleased to announce that it acted as the exclusive financial advisor to Phoenix Fabricators and Erectors, Inc. (“Phoenix” or the “Company”) in its partnership with Union Capital Associates, LP (“Union Capital”). Union Capital invested in Phoenix for its future growth prospects, particularly in the composite elevated water tank market.

Phoenix is an industry-leading provider of elevated water storage tanks, commonly referred to as water towers. Founded in 1986, the Company maintains its corporate headquarters in Avon, IN and has an additional manufacturing facility in Sebree, KY. Phoenix has constructed over 5,000 tanks throughout the United States. By employing its own field crews, the Company offers a turnkey solution, including engineering, fabrication, foundation installation, field erection, and painting services, to ensure high quality and timely construction.

In order to continue to expand and maximize its already strong market position, Phoenix was looking for a partner to give them access to additional capital for expansion. Periculum was engaged to conduct a focused search of potential equity investors to partner with the existing management team. Following an extensive process, management determined the best partner for Phoenix was Union Capital.

Jeff Short, one of the founding partners of Phoenix, stated, “I will continue to serve on the Board of Directors and Management Advisory Committee but this is a great opportunity for Tim Yohler, Kurt Fuller, and Jonathan Dixon, a seasoned management team that we trained and promoted and who have over 50 years of combined experience building composite and steel tanks, to partner with an investment team that has an extensive track record of helping private companies grow and expand.” Tim Yohler, President of Phoenix, echoed this sentiment by saying, “In the 23 years I have been at Phoenix, this is the biggest opportunity we have ever had to expand our presence in the elevated water tank market and specifically to continue our momentum in the composite tank market. Phoenix has seen incredible growth during the past five years in this segment, constructing over 50 composite tanks of all sizes, including 30 composite tanks that are over 1 million gallons in capacity. The Periculum team did an excellent job positioning our growth story and identifying quality potential partners. The Union Capital investment will allow us to increase our share in this market substantially.” Bill Ogden, Managing Partner at Union Capital added, “Our team is excited to provide the capital to Phoenix to continue their growth in the elevated water tank market. We were extremely impressed with the reputation of their products and the experience and dedication of Tim Yohler and the rest of the management team. Throughout our nearly 50-year history the key to our success is partnering with great management teams and providing them with the capital to take advantage of market opportunities like the composite tank market.”

 

03.17

Periculum Advises Dickinson Fleet Services, LLC in its Sale to Ridgemont Equity Partners

Periculum Capital Company, LLC (“Periculum”) is pleased to announce the sale of Dickinson Fleet Services, LLC (“Dickinson” or the “Company”), to Ridgemont Equity Partners (“Ridgemont”). Periculum served as the exclusive financial advisor to Dickinson regarding the sale of the Company.

Based in Indianapolis, Indiana, Dickinson is the industry-leader in the provision of preventative maintenance and repair services for vehicle fleet owners and operators throughout the United States. As the largest independent fleet maintenance company in the country, Dickinson provides mobile maintenance and repairs leveraging both its network of mobile technicians and in-shop maintenance at its 15 branch facilities.

The Company’s ownership situation was unique, as two members of the ownership team sought to retire subsequent to the sale of the Company, while two others desired to remain and continue to build upon the family business. Dickinson exclusively engaged Periculum to structure a customized solution to meet the goals of all Company shareholders. Periculum executed a broad search of potential buyers including large strategic companies in the fleet management and maintenance industry, companies owning large fleets that were currently performing maintenance work in-house, and private equity firms with industry expertise. Following management meetings with several potential buyers, the Company’s shareholders determined that Ridgemont was the ideal financial partner to transition the leadership of the company, supporting the remaining owners and management team as they continue to grow the business.

The founder of the Company, Bob Dickinson, said, “Our experience with Periculum was very rewarding. They helped us to exceed our valuation expectations, and identified potential buyers we couldn’t have found on our own. The Periculum team was always available for advice and guidance throughout the entire process.”

“We had a very positive experience working with the Periculum team throughout the Dickinson transaction process,” said Jack Purcell, Partner at Ridgemont. “Dickinson and the entire vehicle repair and maintenance industry are at an inflection point with respect to the use of technology, leveraging a mobile work force and pursuing M&A opportunities. Periculum positioned their client to be successful during a critical time in the Company’s history. We look forward to expanding the geographic footprint and service offering alongside the management team at Dickinson.

 

03.17

Periculum Advises JBS United in the Sale of its Eastern Illinois Grain Business to Premier Cooperative, Inc.

Periculum Capital Company, LLC (“Periculum”) is pleased to announce that it acted as the exclusive financial advisor to JBS United, Inc. (the “Company”) in the sale of its eastern Illinois grain business (“JBS United Grain East”) to Premier Cooperative, Inc. (“Premier”).

JBS United’s primary focus and core business is the research, development, and production of animal nutrition solutions, which has no direct connection to the grain origination and storage business. Given that, and the Company’s desire to significantly grow in the nutrition segment, JBS United decided to divest its grain business to free up management’s time and reallocate funds to additional nutrition research and development.

JBS United selected Periculum to lead the sale process because of the firm’s extensive experience and contacts in the food and agricultural markets – particularly the grain origination and storage segments. Periculum ran a formal process focused on domestic and international strategic buyers interested in entering or expanding in eastern Illinois. Following an extensive process, JBS United determined the best team to take over its eastern Illinois grain operations was Premier Cooperative. Steve Biddle, Vice President of the Grain Group, echoed this sentiment by saying, “Periculum delivered significant value to us through their experience and well thought out sale process. They identified and targeted strategic buyers that we may not have otherwise been able to attract. With Periculum’s leadership we were able to find the right buyer and a good place for our people going with the business.”

JBS United Grain East is comprised of three grain storage and merchandising facilities located in Royal, Rossville, and Collison, Illinois with significant storage capacity and a team of highly experienced grain personnel. The elevators are strategically positioned with access to multiple markets along the CSX and Union Pacific railroads, complementing Premier’s existing grain origination footprint and culture.