News

Statesman Business Advisors Advises General Crane Service, Inc. on Sale to Employees

HOUSTON, TEXAS (October 31, 2014) – Statesman Business Advisors (“Statesman”) served as the exclusive financial advisor to General Crane Service, Inc. (“General Crane” or “Company”) in its sale to the Bay Area/General Crane Service, Inc. Employee Stock Ownership Plan (“ESOP”). General Crane manufactures and sells overhead bridge cranes, gantry cranes, jib cranes and runway systems throughout Texas and the Southwest U.S. The transaction officially closed on October 31, 2014.

President John Nix, expressed, “I had explored different exit strategies and found that the Employee Stock Ownership Plan allowed me to accomplish my personal goal of exiting my business at a fair price, while at the same time allowing those dedicated employees that were vital in growing the Company to now have a chance to share in the future success of General Crane.”

Nix further emphasized, “We were fortunate to have Statesman advising us on this transaction. While there are many benefits to selling to an ESOP, they can be complex. Statesman was with us from start to finish, arranging financing, explaining the process and even assisting in negotiating the final agreed upon price with the ESOP trustees.”

Statesman Business Advisors Managing Director, Gary Canon, stated, “General Crane is a great company and this transaction creates a terrific opportunity for their employees. Successfully closing a transaction such as this is truly a team effort. We feel privileged to have been chosen to assist the Company in a successful transition to employee ownership.” Securities aspects of the transaction were handled by Statesman Corporate Finance Principal, Will Jaco.

About General Crane Service, Inc.
General Crane Service, Inc. (“General Crane”), headquartered in Houston, Texas, has been a leader in providing overhead crane products and service solutions to customers throughout the Southwestern U.S. With its emphasis of service after the sale, the Company has differentiated itself in the market as the “go-to” service provider for customers in the oil & gas, wholesale, distribution, and other vital industries.

About Statesman Business Advisors
Statesman Business Advisors, LLC offers an array of services, including business valuation, Small Business Administration loan packing and servicing, financial due diligence, and value enhancement consulting, all focused on serving the corporate finance needs of privately held companies and financial institutions operating in the middle-market.

Securities transactions are executed through Statesman Corporate Finance, LLC, an affiliate of Statesman Business Advisors, LLC and a member firm of the FINRA and SIPC.

About Statesman Corporate Finance
Statesman Corporate Finance, LLC is a leading middle market investment bank headquartered in Houston, Texas and with an office in Austin, Texas. Statesman provides merger and acquisition sell-side and buy-side advisory services and general corporate financial advisory services to small and middle-market companies.

Rail Service and Logistics,LLC is Recapitalized by Rock Hill Capital Group

HOUSTON, TEXAS (October 8, 2014) – Statesman Corporate Finance, LLC is pleased to announce that Rail Service and Logistics, LLC (“RSL”), a railroad services provider involved in the removal and disposal of wooden railroad ties, has completed a majority recapitalization with Rock Hill Capital Group (“Rock Hill”).  The transaction was completed on September 12, 2014 and Statesman served as the exclusive financial advisor to RSL.

RSL, headquartered in St. Louis, is a railroad services provider specializing in the removal and disposal of wooden railroad ties as a part of the railroad industry’s annual track maintenance programs.  The company coordinates and works in concert with railroad track maintenance teams collecting, cataloging, and disposing of decommissioned railroad ties at the company’s four grinding facilities.  RSL is managed by two industry veterans – Phil Rector, President and Greg Smith, Vice-President who have a combined 45 years in the railroad services and tie-to-biomass fuel business segment.

In conjunction with the recapitalization by Rock Hill, RSL also acquired the assets of Rail Tie Solutions (“RTS”) from Savage Transportation Management Inc., an affiliate of the Savage Companies (Midvale, UT).  This acquisition will expand RSL’s capabilities and geographic coverage to include four grinding facilities and operations from the Mid-West through the Western United States.

“We were appreciative of Statesman’s efforts in helping us find a partner that believed in our strategy and that could both support our acquisition of the RTS assets and our future expansion into other related services lines. With Rock Hill’s support and our expanded capabilities, we believe we can grow RSL into a premier provider of rail services,” said Greg Smith.

About Rock Hill Capital:

Founded in 2008, Rock Hill Capital Group, LLC is a Houston, TX based private equity firm that targets investments in the growing middle to lower middle market with enterprise values up to $75 million. Rock Hill seeks to assist successful entrepreneurial companies located in the southern United States to continue to grow and expand their business.

About Statesman:

Statesman is a leading middle market investment bank headquartered in Houston, TX that provides merger and acquisition sell-side, buy-side, and general corporate financial advisory services to small and middle-market companies.  The Statesman transaction team included Principal Will Jaco, Vice President Peter Chiu, and Associate Walker French.

Bio-Medical Services, Inc. Is Acquired By ALK-Abello A/S

AUSTIN, TEXAS (March 2014) – Statesman Corporate Finance, LLC (“Statesman”) is pleased to announce that the assets of Bio-Medical Services, Inc. (“Bio-Medical Services”), an Austin based veterinary reference laboratory that pioneered in vitro serum IgE allergy testing in the veterinary industry, have been acquired by ALK-Abelló A/S (“ALK”), (NASDAQ OMX Copenhagen: ALK B), the world’s leading allergen extract manufacturer, which is located in Hørsholm, Denmark. The transaction was completed on February 11, 2014.

Since 1923, ALK has exemplified scientific leadership in the field of allergy research, and has remained committed to the treatment of allergic disease in humans. Bio-Medical Services introduced in vitro serum IgE allergy testing to the veterinary industry in 1989, and has a proven track record for treating allergic disease for dogs, cats, and horses. With this acquisition, ALK is now positioned to expand its allergy focus to include the very important veterinary allergy market.

“This partnership will allow us to provide complete allergy management resources to veterinary dermatologists and general practitioners alike. By leveraging the expertise of both companies, we will enhance and expand the ACTT® Allergy Management program to provide the most comprehensive resource for allergy testing and treatment in the industry. Dr. Keesee and I are thrilled to become part of the ALK team,” stated Pamela Blaine, Director of Marketing for Bio-Medical Services.

“We are excited about our partnership with Bio-Medical Services and the opportunity to expand our knowledge and resources in the field of veterinary allergy care. We share the commitment to customer service that Bio-Medical Services customers have known, and to provide allergy testing and treatment solutions that will improve the lives of allergic pets,” stated Jose A. Moreno Toscano, President of ALK-Abello, Inc.

The ACTT Allergy Program with ALK will include serum IgE allergy testing, bulk allergen sales for the veterinary dermatologist, and allergen-specific immunotherapy treatment, including the new ACTT Allergy Drops™, sublingual immunotherapy. Together, ALK and Bio-Medical Services will fight the cause of allergic disease for people and their pets.

“I am excited that the company will go forward in the capable hands of ALK and Bio-Medical Services team members. It has been a long and exciting journey from 1985 to 2014, and I am awed to think about all of the animals that have been treated and helped as a result of serum allergy testing,” stated Rosalie Mandy, CEO of Bio-Medical Services.

Statesman Corporate Finance, LLC served as the exclusive financial advisor to Bio-Medical Services, Inc. The Statesman transaction team was led by Managing Director Lawrence (Larry) Schumann. Brad Knippa and David Garcia with Jackson Walker served as legal counsel for Bio-Medical Services. Jerry Keys, with Matheson Keys & Kordzik, led the legal team that advised ALK.

ALK is a research driven, global pharmaceutical company focusing on allergy treatment, prevention and diagnosis. As the world leader in allergy immunotherapy, a treatment given to increase immunity to substances causing allergic symptoms, ALK is devoted to improving the quality of life for people and pets with allergies by creating products that treat the cause of allergies. ALK and the Asthma and Allergy Foundation of America have partnered to create a unique online resource on allergy immunotherapy for patients: www.fightthecauseofallergy.org. ALK is also committed to supporting the business of allergy by providing diagnostic tools, automation software and customized business, technical and clinical consulting services.

Bio‐Medical Services is a veterinary reference laboratory specializing in allergy testing and treatment for dogs, cats and horses. Founded in 1989, Bio‐Medical Services was the first laboratory to develop a commercial application for in vitro allergy diagnostics in the veterinary industry.

Statesman Corporate Finance, LLC is a leading middle market investment bank headquartered in Houston, Texas and with an office in Austin, Texas. Statesman provides merger and acquisition sell-side and buy-side advisory services and general corporate financial advisory services to small and middle-market companies.

Statesman Contact:
Larry Schumann
Managing Director – Austin Office
(512) 372-1000
lschumann@statesmanbiz.com

Schlehuber Oil Tools, LLC is Acquired by Team Oil Tools, Inc.

DENVER CITY, TEXAS (October 7, 2014) – Statesman Corporate Finance, LLC (“Statesman”) is pleased to announce that Schlehuber Oil Tools, LLC (“SOT”) has been acquired by Team Oil Tools (“Team”). Founded in 2005, Schlehuber has grown to become one of the leading providers of downhole completion tools and services in the Northern Permian Basin and Eastern New Mexico markets. SOT’s commitment to customer service, safety and on-time delivery fits in perfectly with Team’s operating philosophy, and the acquisition of SOT significantly strengthens Team’s Permian Basin operations.

Byron Cowart, CEO of Team, commented, “We are absolutely thrilled to have Schlehuber Oil Tools become a part of Team Oil Tools.  We are committed to expanding our reach in the Permian Basin, and Robert and Carrie Schlehuber have assembled an outstanding team of completion experts and service professionals.  SOT will be a major part of our continued growth in West Texas.”

Robert Schlehuber, SOT’s founder and president, will become the Regional Manager of Team’s Permian operations.  Schlehuber commented, “We are extremely excited about joining up with both Team and Intervale.  Together, they bring the experience and resources we have needed to further our growth, and Team’s technology portfolio will significantly enhance our downhole completion capabilities.  We are also tremendously grateful for Statesman’s efforts in helping us identify the ideal partner for our business.  They were extremely professional and their assistance in helping prepare us for a sale and navigate through the complexities of a transaction like this was invaluable.”

Tuan Tran, principal at Intervale Capital added, “The combination of Team and Schlehuber makes perfect strategic sense. Schlehuber enhances Team’s service and distribution capabilities in the Permian, and Team will continue to invest in additional service centers in the Permian to better serve the combined customer base and support Schlehuber’s expansion.”

About Statesman:

Statesman is a leading middle market investment bank with offices in Houston and Austin, Texas, providing merger and acquisition sell-side, buy-side, and general corporate financial advisory services to small and middle-market companies.  The Statesman transaction team for this transaction included Principal Walter Tomlinson, Vice President Peter Chiu, and Associate Walker French.

About Team Oil Tools, Inc.:

Team Oil Tools, Inc. designs, manufactures, sales and services downhole completion products and it’s core products include ORIO toe valves, packers, composite plugs, swellable packers and patented cemented sleeves for hydraulic fracturing applications. Team is headquartered in The Woodlands, Texas and has manufacturing operations in Tulsa, Oklahoma, and 10 service centers located in major U.S. oil and gas markets, including the Permian Basin, Eagle Ford, Mid Continent, Utica, Marcellus and Haynesville. Company website:  www.teamoiltools.com/

About Intervale Capital:

Intervale Capital is an energy-focused private equity firm with offices in Boston and Houston.  Intervale invests exclusively in middle-market oilfield services and manufacturing companies and related technologies. The firm has raised $1.2 billion of committed capital since its inception in 2006 and is currently investing from its third fund.  www.intervalecapital.com

Certified Pipe Service Houston, Inc. Secures Mezzanine Debt And Equity Financing From Independent Bankers Capital Funds

HOUSTON, TEXAS (April 2014) – Statesman Corporate Finance, LLC (“Statesman”) is pleased to announce that Certified Pipe Service Houston, Inc. (“CPS”) has secured mezzanine debt and equity financing from Independent Bankers Capital Funds (“IBCF”).

CPS is a diversified steel pipe service company and structural steel fabricator located at Jacinto Port in Channelview, Texas. The company has expanded its offerings beyond oil and gas to serve a wide variety of industries including mining, civil, subsea, and marine construction. While core services still revolve around the storage, repair and service of tubular goods, CPS has also developed extensive fabrication, blasting and coating, logistics, inventory management, and specialty services related to pipe handling. CPS’ greatest asset has proven to be this diversification which has allowed the company to grow and prosper through multiple business cycles. The new capital will be used for growth and will partially finance the company’s expansion into a second and larger state-of-the-art pipe handling facility in Baytown, Texas.

IBCF, an investment capital firm located in Dallas, Texas, provides mezzanine lending and preferred equity for established lower-middle-market companies, primarily located in Texas. IBCF operates two Small Business Investment Companies (“SBIC”) licensed by the United States Small Business Administration. Established in 2000, IBCF’s investors are Texas-based independent community banks and financial institutions. Independent Bankers Capital Fund, L.P. (“Fund I”) was licensed in 2000 and has been fully invested into 12 companies. Independent Bankers Capital Fund II, L.P. (“Fund II”), which was licensed in 2009 and began operations January 2010, has $63,000,000 of investable capital.

Statesman served as the exclusive financial advisor to CPS. The Statesman transaction team was led by Principal Will Jaco and Associate Walker French. Amegy Bank of Texas, NA (“Amegy”) provided the senior debt for the transaction and Kenny Kucherka and Mark Magee led Amegy’s financing team.

Statesman is a leading middle market investment bank and a member of FINRA and SIPC, headquartered in Houston, Texas. Statesman provides merger and acquisition sell-side and buy-side advisory services, capital sourcing, valuation, and general corporate financial advisory services to small and middle-market companies.

Statesman Contact:
Will Jaco
Principal
(713) 595-1342
wjaco@statesmanbiz.com

 

TerraSpark Companies Is Acquired By CGG Jason (Netherlands) B.V.

PARIS, FRANCE (February 2014) – Statesman Corporate Finance, LLC (“Statesman”) is pleased to announce that CGG Jason (Netherlands) B.V. (“CGG”) has completed its acquisition of TerraSpark Companies (“TerraSpark”), a Lime Rock Partners portfolio company. The transaction was completed on January 15, 2014.

CGG (NYSE: CGG) has enhanced its software portfolio with the addition of TerraSpark’s Insight Earth®, advanced 3D visualization and interpretation software. Insight Earth greatly enhances seismic interpretation systems and provides the interpreter with guided tools that can automate the fault extraction process, precisely define salt bodies, deliver fast depictions of paleo-depositional environments, and enable the visualization of discrete fracture networks in unconventional plays. Insight Earth brings the most complicated structures into clear definition and delivers superior results.

With Insight Earth joining its Hampson-Russell and Jason software, CGG offers a full and complementary suite of tools to provide its worldwide clients with best-in-class reservoir characterization technology. These include advanced seismic interpretation, petrophysical analysis, well-to-seismic ties, inversion, reservoir property determination, and geomodeling.

Sophie Zurquiyah, Senior Executive Vice President of CGG’s Geology, Geophysics & Reservoir Division (GGR), said: “Insight Earth and its industry-renowned visualization and interpretation capabilities strongly complements our reservoir characterization software to address the most difficult subsurface challenges, enabling our clients to reduce the risks and costs associated with the discovery and production of hydrocarbons.”

CGG (www.cgg.com) is a fully integrated Geoscience company providing leading geological, geophysical, and reservoir capabilities to its broad base of customers primarily from the global oil and gas industry. Through its three complementary business divisions of Equipment, Acquisition, and Geology, Geophysics & Reservoir (GGR), CGG brings value across all aspects of natural resource exploration and exploitation. CGG employs 9,800 people around the world, all with a passion for Geoscience and working together to deliver the best solutions to its customers.

TerraSpark is headquartered near Boulder, Colorado with a sales and support center in Houston, Texas. The company creates software tools that serve exploration and production professionals in the energy industry. TerraSpark’s breakthrough product, Insight Earth, enables visualization-guided volume interpretation of structure and stratigraphy, as well as integrated directional well-path planning. TerraSpark licenses Insight Earth and its modular components to end-users, and licenses individual technologies, such as interpretation services, to ISPs. The company leverages Insight Earth in its consulting services, namely 3-D interpretation, directional well path planning, and velocity model building.

Statesman Corporate Finance, LLC served as the financial advisor to TerraSpark. The Statesman transaction team included Managing Director Sid Shaver and Associate Walker French. TerraSpark’s key management team members involved in the process included Dan Piette, President and CEO, Geoffrey A. Dorn, Ph.D, Chief Technology Officer, and Steven Wells, Chief Financial Officer, V.P. Human Resources.

Statesman Corporate Finance, LLC is a leading middle market investment bank headquartered in Houston, Texas. Statesman provides merger and acquisition sell-side and buy-side advisory services and general corporate financial advisory services to middle-market companies.

Statesman Contact:
Sid Shaver
Managing Director
(713) 590-4697
sshaver@statesmanbiz.com