Retail / Consumer

  • Managed JNL’s position in the public bonds of this Texas- based operator of supermarkets

 

  • Served on the creditors committee during the reorganization of this OK based retailer
  • As the second largest creditor, the PPM Funds’ management team led a group of bondholders in a negotiation for the sale of the company to Richfood Holdings at a price equal to approximately 7 times trailing EBITDA

 

  • The sale was consummated in March 1998 through a prepackaged bankruptcy

 

  • The PPM Funds purchased holding company notes just prior to the voting date in order to box out that class of securities from voting against the plan and holding up the reorganization. PPMA realized a 17% annualized IRR on this investment

Hills (discount)

  • On November 12, 1998, Hills signed a definitive agreement providing for its acquisition by Ames.  The acquisition was contingent on a successful tender offer by Ames for Hills’ common stock and Senior Notes

 

  • PPMA publicly objected to the tender offer and as a result of PPMA’s active management of this situation, Ames increased its tender offer for the Senior Notes by 27% and purchased Hills in December, 1998.PPMA realized a 19% annualized IRR on its investment
  • Supervised the PPMA Special investments funds investment in this MS based operator of supermarkets
  • In April 1995, Peebles entered into an agreement to sell its stock for $23 per share.  This agreement was subject to shareholder approval which was to be sought at a special shareholder meeting in early May.  In the interim, PPMA determined that a fair valuation of the Company was in the range of $26 to $31 per share

 

  • PPMA thereupon organized the other institutional stockholders of Peebles and conducted a bidding process that resulted in the realization of a $30 per share cash price in June 1995
  • Managed JNL’s $30 million sr. sec. loan in the bankruptcy

 

  • Structured and underwrote a >$100 million DIP for Phar Mor

 

  • Realized a > par recovery on the entire position
  • Managed JNL’s $40 million subordinated debt investment in the regional furniture retailer

 

  • Recovered > par for JNL
  • Managed Prudential’s preferred stock position in this west coast retailer

 

  • Negotiated improved recovery in prearranged restructuring

OptiWorld (eyeglasses)

  • Managed JNL’s subordinated debt position in this southeastern optical retailer

 

  • Negotiated for a full recovery on behalf of JNL

 

 

  • Managed JNL’s position in this Pacific Northwest home improvement retailer
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Consumer

 

 

 

  • Acted as Financial Advisor to Schutt Sports, Inc. (“Schutt”) in connection with its Chapter 11 bankruptcy and Section 363 sale , pursuant to the terms of the DIP order, in September 2010

 

  • After a competitive auction, Platinum Equity emerged as the winning bidder for Schutt’s assets, with a bid of $33.1 million

 

  • Platinum’s bid represented a 30% improvement over the stalking horse bid of $25 million resulting in a recovery to the unsecured creditors of > $0.85/$

 

  • Retained by the equity sponsor, to sell the company in  2011

 

  • Conducted an extensive marketing process and received 8 Letters of Intent

 

  • Secured lenders called a halt to the sale process in December and the company filed Chapter 7

  • Engaged by the company in June of 2011, to act as exclusive financial advisor in connection with a Purchase Order financing and broader capital structure refinancing

 

  • Led negotiations with potential lenders and with the Company’s senior lender, resulting in an inter-creditor  agreement allowing for a Purchase Order financing

 

  • Secured $3 million Purchase Order financing, allowing the Company to meet its “Back-to-School” peak season shipments

  • Managed the workout of this fundraising / company which was eventually sold to a strategic buyer

 

  • Board of Directors (1994 – 1998)

 

 

 

  • Member of the Official Creditors Committee in the company’s 1993 bankruptcy proceeding

  • Managed the $38 million debt investment in this distressed coupon processor, through which we also acquired 85% of the equity

 

  • $20 million of the debt was repaid within 60 days and the balance was refinanced within a year

 

  • Through various initiatives and changes in management we managed to significantly increase profitability and eventually the company was sold at a significant profit to a financial buyer

 

  • Board of Directors (1998 – 2000)

  • Managed the workout of this manufacturer of redwood and injection molded outdoor furniture in 1993

Winkler Flexible Products/Benchmark Holdings (plastic tableware)

  • Managed the workout of this manufacturer of plastic cutlery and straws for the fast food industry

 

  • Managed the litigation against the purchaser of the assets and its counsel for in connection with the subsequent sale of the company to a strategic purchaser

 

  • Recovered the entirety of the investment though the litigation proceeds

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CAPITAL MARKETS SOLUTIONS FOR MIDDLE MARKET COMPANIES

Water Tower Capital, LLC     N30 W29393 Hillcrest Drive,  Pewaukee, WI  53072        300 South Wacker Drive  Suite 2300    Chicago, IL  60606

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