2018

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CLIENT

LEGACY Supply Chain Holdings, Inc. (dba LEGACY Supply Chain Services, “LEGACY” or the “Company”) provides outsourced supply chain solutions, including omni-channel and eCommerce fulfillment, serving the North American market. The Company offers services through its value-added warehousing, brokerage, and transportation divisions, serving end markets including retail, industrial, and consumables. LEGACY develops customized logistics solutions that deliver significant cost savings, leading operations capabilities and offer companies immediate access to economies of scale and scope. Exceptional service has yielded long-term client relationships that consist of diverse, name-brand customers.

SITUATION

In July 2016, ownership of LEGACY was transferred to certain affiliates and managed funds of THL Credit Advisors LLC (“THL Credit”). During THL Credit’s ownership, LEGACY’s management team focused efforts on realigning the growth strategy to high potential areas of its core business model, including a refined focus on its value-add strengths such as integrated service operations, complex operational and logistics planning, eCommerce and omni-channel capabilities. Management identified and executed on multiple achievable pathways for driving growth through its existing capability set, infrastructure and customer relationships. Additionally, the Company sourced meaningful new business, drove top and bottom line growth and identified critical high growth end-market opportunities that it is now serving today.

ENGAGEMENT

G2 Capital Advisors, LLC (“G2”) served as the exclusive sell-side advisor to LEGACY, leading a robust, highly tailored process, which ultimately resulted in identifying Eos as the ideal equity partner for the business as it continues to drive growth.

OUTCOME

The transaction was successfully completed through a sale to Eos. Details and terms of the acquisition were not disclosed.

“LEGACY has proven itself as a leading third-party logistics provider and is well positioned to enable the complex supply chain requirements of omni-channel OEMs, retailers and specialty distributors,” said Matt Konkle, Executive Chairman of LEGACY and Sr. Managing Director at G2. “In partnership with G2, the Company has evolved through a period of revitalization and is now poised for significant growth as an investment platform for Eos.”

Mike Glodziak, President and CEO of LEGACY, shared, “We thank G2 Capital Advisors for working alongside us for the past 2+ years. The partnership with G2 and THL was essential to our long-term growth strategy. As a result, LEGACY is well positioned to continue to serve our long-standing client base, expand our footprint in eCommerce fulfillment and omni-channel logistics, and establish leadership position in new and emerging consumer logistics markets.”

“We’re very proud of the improvements that occurred at LEGACY while we were in control of the Company,” said Chris Flynn, CEO of THL Credit. “G2 was instrumental in helping to manage the business at a critical inflection point and find a proper buyer when the Company was in a position to be sold.”

About G2 Capital Advisors

G2 Capital Advisors provides M&A, capital markets and restructuring advisory services to the middle market. We offer integrated, multi-product and sector-focused services by pairing highly experienced C-level executives with specialist investment bankers. We aspire to be the trusted advisor of choice to our clients including corporations and institutional investors.

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CLIENT

Joseph Enterprises, Inc. (“JEI”) and Joseph Pedott Advertising and Marketing, Inc. (“JPAM”) are integrated consumer products and marketing companies which design, market and distribute novelty, home and garden products through drug, mass, home, hardware and direct retail channels throughout the U.S., Canada and Europe. JEI is best known for the development of Chia Pet® and The Clapper® into consumer icons, achieved through highly effective marketing and using widely recognized licenses from movies, television shows and pop culture. Americans of all generations can sing the “Ch Ch Ch Chia” and “Clap On, Clap Off” slogans which we have grown to love. JPAM is the marketing engine which produces and airs television commercials throughout the U.S. and Canada for JEI and other third-party products.

SITUATION

Joseph Pedott founded the organization as an advertising agency more than 65 years ago while still in college. Through hard work, dedication and perseverance, he built a platform which specializes in marketing and selling consumer products primarily through the mass merchandise retail channel. After a long and storied career selling more than 25 million Chia Pets, 7 million Clappers and making the Garden Weasel a top selling product in Europe, he hired G2 Capital Advisors (“G2”) to find a partner who would embrace his legacy and maintain the Company’s culture he spent his professional life building.

ENGAGEMENT

G2 served as the exclusive sell-side advisor to JEI / JPAM, responsible for running a robust, hands-on sale process, which ultimately resulted in a sale to NECA.

“I am thrilled to be able to transition the company I have spent my whole life building to Joel Weinshanker, CEO of NECA. I know he is going to preserve the nature of what makes Chia Pet® and The Clapper® so special and unique, while at the same time providing new ideas to refresh the brands,” said Joseph Pedott, Founder and President of JEI / JPAM.

OUTCOME

The transaction was successfully executed through a sale to NECA, a leading creator and global distributor of licensed consumer products based on some of the world’s most recognized movies, video games, comic books, and pop culture.

“It’s not every day that brands as strong and well known as Chia Pet® and The Clapper® are for sale. I saw a clear opportunity to leverage JEI/JPAM’s high-caliber team and proven performance combined with NECA’s expertise in licensing third party property and highly talented product designers to develop products and sales channels while maintaining the existing mass merchandise retail model,” said Joel Weinshanker, CEO of NECA. “I enjoyed getting to know Joseph Pedott’s life story and am honored to continue his legacy and ensure his DNA remains front and center of the organization.”

“It was our duty as advisors to make certain Pedott’s legacy would be honored and the unique portfolio of iconic consumer products were valued. Through the process it became clear that NECA was the right buyer and we feel honored to have played a role in the successful outcome of helping Pedott transition the business and retire after more than 65 years of hard work. We are excited to witness the teams execute on their plan to take Chia Pet® and The Clapper® into the next generation” said G2 Vice President, Christopher Casteleyn, based out of San Francisco.

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Bridgepoint Consulting is a leading management consulting firm that helps companies throughout their business lifecycle. Offering a broad range of finance, technology and risk/compliance services, Bridgepoint supports clients from the startup phase all the way to IPO readiness and beyond. Since 1999, Bridgepoint has been helping executives and management teams reduce their business and operational risks, bridge resource gaps and improve overall performance.

SITUATION

Bridgepoint had achieved an impressive period of sustained growth and profitability leveraging investments in infrastructure made over the last several years as well as expansion into new service offerings. The principles of the firm were interested in securing a potential liquidity event and were specifically seeking a partner for their next stage of growth.

ENGAGEMENT

G2 served as the exclusive advisor to Bridgepoint Consulting, responsible for running a targeted, hands-on sale process, which ultimately resulted in a sale to Addison Group.

“This exciting partnership provides Bridgepoint the incredible opportunity to leverage Addison’s national presence to accelerate our growth strategy and extend our services,” said Bob Smith, Co-Founder and Principal of Bridgepoint Consulting. “We look forward to working with the Addison team to build new synergies while enhancing our ability to deliver high-value services for our clients. This also provides many career opportunities for our team that will allow them to continue growing professionally.”

OUTCOME

The transaction was successfully executed through a sale to Addison Group, a portfolio company of Odyssey Investment Partners.

“We saw a clear opportunity to leverage Addison Group’s high-caliber team, proven performance, and industry-leading growth with a well-established firm offering a full suite of management consulting services and similar growth strategy,” said Thomas Moran, CEO of Addison Group.

“The alignment between our two firms, both operationally as well as culturally, provides a unique platform for exceptional delivery. Our combined services, consisting of high level management consulting as well as a broad variety of human capital services, gives customers access to a wider range of service options to help achieve business goals.”

Addison Group is a leading provider of professional staffing and permanent placement services for Information Technology, Finance & Accounting, Executive Search, Healthcare, HR & Administrative, and Engineering. Addison’s strengths are its strong management and executive teams, a relationship?focused selling strategy, a history with clients of delivering the right candidate at the right time, and a loyal candidate base. With 22 offices in cities across the United States, Addison Group offers a national reach with a localized touch.

“The partnership between Bridgepoint and Addison Group is strategically compelling for both organizations. We feel privileged to play a role in the successful outcome of this transaction for all parties and are excited for the Bridgepoint team as they embark upon the next stage of building their growth story”, said G2 Managing Director, Matt Konkle.

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G2 Capital Advisors announced today that Konstantin Danilov has joined the Boston office as Senior Associate. Konstantin will focus his time assisting G2’s special situation and restructuring clients overcome liquidity, financial, operational, or market challenges.

Prior to joining G2, Konstantin was a Manager at Analysis Group, one of the largest private economics consulting firms globally, where he specialized in financial analysis related to bankruptcy, reorganization, and related matters. He has experience with matters involving multiple approaches to valuation, complicated corporate structures and accounting issues in some of the largest, most complex bankruptcies in history, including Lehman Brothers, ResCap, General Motors, Polaroid, Paragon Offshore and others. Prior to joining Analysis Group, he was a senior investment analyst at Manulife Financial, where he helped oversee the implementation of liability-driven investment strategies and pension plan restructuring initiatives.

Konstantin is currently a member of the editorial board at the Association of Insolvency and Restructuring Advisors Journal and is a member of the investment advisory board at Independence Financial Partners. Konstantin holds a Master of Science in Management/Master of Business Administration double-degree from the MIT Sloan School of Management and HEC Paris. Mr. Danilov received the MIT Sloan Outstanding Thesis Award for his thesis titled “Corporate Bankruptcy: Assessment, Analysis, and Prediction” and was also the recipient of the HEC Paris Academic Award. He holds the Chartered Financial Analyst (CFA) designation and is a member of the CFA Institute. He has published articles in various outlets, including the Wall Street Journal, the Association of Insolvency and Restructuring Advisors (AIRA) Journal, the Journal of Corporate Renewal, the Journal of Investment Management, Law360, and others.

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Veeco Holdings, LLC (“Veeco” or the “Company”) is a complete “port-to-door” logistics services company, providing end-to-end omni-channel supply chain solutions including transportation, deconsolidation, e-commerce fulfillment, distribution, warehousing, and brokerage services. The Company operates in three divisions Veeco Services, Crest CFS, and Sundance Logistics. Veeco was founded in 1968 and operates out of North Bergen, New Jersey. Veeco was a portfolio company of Lineage Capital, a Boston based private equity firm.

SITUATION
Lineage Capital and Veeco’s founder and CEO, Michael Arciero, sought a recapitalization of the business with a growth oriented partner. Given new growth prospects, Veeco sought a partner to support continued investment in the business and who had direct experience in transportation and logistics.

ENGAGEMENT
G2 served as the exclusive financial advisor to Veeco, responsible for running a targeted, hands-on sale process. Bill McKinley of Lineage Capital explained, “G2’s knowledge of Veeco’s market and operations was a key differentiator in facilitating the sale of the business.”

OUTCOME
The transaction was successfully executed through a sale to a strategic buyer whose operating approach and direct experience in the logistics space were key differentiators.

“We are pleased to see Veeco find a partner for its next phase of growth. Management has a great opportunity to build upon the Company’s strong reputation in the marketplace and unique service offering,” said G2 Managing Director, Ron Lentz, who leads G2’s Transportation and Logistics practice.

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Addison Group, a leading professional services firm, announced today the acquisition of Bridgepoint Consulting, a Texas-based management consulting firm that delivers a broad range of financial operations, risk/compliance and technology services to support companies throughout their business lifecycle.

“We look forward to working with the Addison team to build new synergies while enhancing our ability to deliver high-value services for our clients. This also provides many career opportunities for our team that will allow them to continue growing professionally.”

The acquisition strengthens Addison Group’s presence in several high-growth Texas markets, anchored by a tenured leadership team with deep industry expertise and business relationships. The transaction is aligned with Addison’s strategy to broaden its national service footprint through organic growth and acquisition of high-growth, high-margin firms with strong client relationships and complementary service offerings. Bridgepoint’s niche expertise augments the consulting arm of Addison Group’s business, providing the opportunity for continued expansion of its service offerings. This is Addison Group’s second acquisition in the past six months and solidifies the organization’s status as a leader in the human capital market.

“We saw a clear opportunity to leverage Addison Group’s high-caliber team, proven performance, and industry-leading growth with a well-established firm offering a full suite of management consulting services and similar growth strategy,” said Thomas Moran, CEO of Addison Group. “The alignment between our two firms, both operationally as well as culturally, provides a unique platform for exceptional delivery. Our combined services, consisting of high level management consulting as well as a broad variety of human capital services, gives customers access to a wider range of service options to help achieve business goals.”

“This exciting partnership provides Bridgepoint the incredible opportunity to leverage Addison’s national presence to accelerate our growth strategy and extend our services,” said Bob Smith, Co-Founder and Principal of Bridgepoint Consulting. “We look forward to working with the Addison team to build new synergies while enhancing our ability to deliver high-value services for our clients. This also provides many career opportunities for our team that will allow them to continue growing professionally.”

Bridgepoint has a team of 140 finance, technology and risk professionals that provide expertise and support to companies in transition, including those experiencing high-growth, meeting compliance objectives, or transforming their technology infrastructure.

Bridgepoint Consulting will continue to maintain its headquarters in Austin, Texas. The company’s Principals and team will retain their roles within the expanded organization.

G2 Capital Advisors, an investment banking firm based in Boston, served as investment advisor for Bridgepoint Consulting.

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CLIENT
EIG provides a comprehensive range of consultative services, including project management, engineering, systems analysis and planning, field services and specialty services to traditional utility companies, project developers, regulatory and government agencies, energy companies, financial organizations, and a wide range of other entities within the energy industry.

EIG was founded in 2000 and employs a growing team of more than 70 industry professionals.

SITUATION
EIG’s founders, John Marczewski and Charles “Chuck” Wilson, were interested in seeking a recapitalization of the business with the right partner who valued EIG’s deep team and had the ability to expand upon EIG’s established leadership in the energy sector.

ENGAGEMENT
G2 served as the exclusive financial advisor to EIG, responsible for running an efficient sale process. John Marczewski and Chuck Wilson explained, “We’re excited to join the EN Engineering team, and we are confident that our collective expertise and resources will lead to increased opportunities for growth and enable us to continue to be a leader in the energy industry. We appreciate the guidance of G2 throughout the process and helping us find a great partner in EN Engineering.”

OUTCOME
The transaction was successfully executed through a sale to EN Engineering, a portfolio company of General Atlantic. EN Engineering provides comprehensive and dependable engineering, consulting, and automation services to utilities, pipeline companies, and industrial customers. The company operates in key energy and manufacturing regions across the United States. Ben Newman, Vice President, Corporate Development at EN Engineering agreed, “EN Engineering has long been a leader in the gas-related markets, and we have also developed a burgeoning electrical presence in recent years. As technical experts in electric power, EIG significantly expands our capabilities and adds new categories of highly valuable services for our clients.”

“We are pleased to be a part of such a successful outcome for the entire EIG team. Partnering with EN Engineering will allow both EIG and EN Engineering to better serve their longstanding customers as a true leader in the energy sector,” said G2 Managing Director, Matt Konkle.