Sample Transactions

Sherwood Bedding

Sherwood Bedding is a third-generation American manufacturer of private-label mattresses, providing superior value at every price point. The Company operates four bedding manufacturing plants strategically located across the United States enabling it to provide nationwide distribution to its’ retail base. Sherwood Bedding sold a majority ownership interest, previously held by Steinhoff International Holdings N.V. (a publicly held global retailer with revenues in excess of $13 billion, headquartered in Stellenboch, South Africa with more than 40 brands in over 30 countries) to a wholly-owned subsidiary of Tempur Sealy International (a publicly held bedding manufacturer with revenues in excess of $3.0 billion which develops, manufacturers, markets and distributes bedding products in the United States, Canada and internationally). Mann, Armistead & Epperson, Ltd. served as the financial advisor to Sherwood Bedding in this transaction.

Rent-A-Center, Inc.

Rent-A-Center, Inc., a publicly owned company headquartered in Plano, Texas, is a leader in the Rent-To-Own (“RTO”) industry, which provides customers the opportunity to obtain consumer electronics, appliances, computers, wheels and tires, furniture and accessories through a rental purchase agreement and also provides merchandise on an installment sales basis and RTO transactions to consumers who do not qualify for financing from the traditional retailer through kiosks in its’ RTO retail locations. Mann, Armistead & Epperson, Ltd. served as the exclusive financial advisor to Rent-A-Center with the purpose to acquire a virtual RTO service company. Rent-A-Center acquired substantially all of the assets of C/C Financial Corp doing business as Merchants Preferred, a nationwide provider of virtual rent-ho-own services. Merchants Preferred was founded in 2012 in Atlanta, Georgia. This acquisition accelerated Rent-A-Center’s virtual rent-to-own position within the industry.

Corsicana Bedding, Inc.

Corsicana Bedding, a privately held family owned company, was founded in 1971 in Corsicana, Texas as a domestic-based wholesale promotional bedding manufacturer operating nine manufacturing plants strategically located throughout the U.S. Corsicana is believed to be one of the highest volume bedding and mattress unit producers in the U.S. Corsicana produces quality bedding under a unique system of both generic and private label brands, marketed at extremely competitive prices which allows the retailer, utilizing product differentiation, to enjoy higher than normal gross profit margins. Corsicana was recapitalized alongside management by Long Point Capital, a New York-based firm. Mann, Armistead & Epperson, Ltd. served as the exclusive financial advisor to Corsicana Bedding.

Kingsdown, Incorporated

Kingsdown, Incorporated was originally formed as The Mebane Bedding Company in 1904 in Mebane, North Carolina. Over the years, Kingsdown has launched many innovations such as the Sleep to Live Institute, the DormoDiagnostics and bedMatch technology and most recently the Body Perfect Sleep System. Kingsdown manufactures in geographically dispersed factories throughout the U.S., ships product domestically and internationally and additionally has a very successful international licensee program. Kingsdown was privately owned with most of the stock being held for multiple generations by local families. Additionally, the Company had substantial ownership vested in an Employee Stock Ownership Program. Mann, Armistead & Epperson, Ltd. served as a financial advisor to management and to the Board of Directors for numerous years and then acted as the Company’s exclusive investment banker during a merger and recapitalization with its one of its original licensees, located in Canada and backed by private equity. This transaction provided liquidity for the shareholders and the ESOP while providing additional capital for continued domestic and international expansion.

Southern Motion, Inc.

Southern Motion, Inc., founded in 1969, is a privately held business headquartered in Pontotoc, Mississippi that designs, manufactures and markets upholstered motion furniture. The Company, which operates multiple facilities and employs approximately 1,500 workers, is vertically integrated with its own frame and cushion plants and is considered to be a leader in product development. Many of the original investors remained stockholders in the Company and desired some form of liquidity for their investment while some of the senior management team desired to remain as investors. Mann, Armistead & Epperson, Ltd. was engaged by the Board of Directors as its exclusive financial advisor to explore various strategic options which would satisfy the multiple objectives of all parties involved. After conducting a wide spread sell-side process, the Company was successfully recapitalized by Gain/Line Capital Partners along with senior management. This transaction provided liquidity for those long-standing original investors and also an opportunity for management to continue to be equity owners, operate the Company, and take advantage of market opportunities.

Art Van Furniture, Inc.

Art Van Furniture, Inc. was founded in 1959 by Mr. Art Van Elslander and is the largest furniture and mattress retailer in the upper Midwest. Art Van operates a total of 110 retail locations in Michigan, Indiana, Ohio and Iowa, including Art Van Showrooms, Clearance Centers, PureSleep Mattress Stores, Art Van Flooring and Scott Shuptrine Interiors. Mr. Van Elslander, in addition to being the founder and chairman of Art Van, was extremely active in Art Van and the overall furnishings industry until well into his 80’s, at which time he elected to seek liquidity for himself and for his family members. While the recapitalization transaction, due to its complexity, had multiple legal and financial advisors involved, Mann, Armistead & Epperson, Ltd., who had served as a confidential advisor to Mr. Van Elslander over many years, had the pleasure of serving as Special Advisor to Mr. Van Elslander in this recapitalization transaction with Thomas H. Lee Partners.

Raffel Systems

Raffel Systems was started in 1982 to design a system of motors and vibration modes to be integrated into massage furniture. Subsequently, the Company realigned itself as to an innovative electronic controls and components supplier to many furniture manufacturers around the globe. Today, Raffel is a leading innovator of proprietary electronic controls and related components for motion furniture, industrial, and theater seating applications. During 2016, the Company’s prior ownership elected to seek liquidity and hired a financial advisor to guide it through the transaction. In connection with this process, Mann, Armistead & Epperson, Ltd. was hired by Cathay Capital Private Equity to assist in its formal due diligence process, to be an overall furnishings industry advisor, and provide certain industry data. Mann, Armistead & Epperson, Ltd. remains a Strategic Advisor to the Raffel Board of Directors.

Empire Machinery & Supply Corp.

Empire Machinery & Supply Corporation was founded in 1914 in Norfolk, VA. With locations in Norfolk, VA and Hampton, VA, Empire is an industrial supply business that specializes in industrial, government, contractor, and marine supplies. Empire was acquired by Management Consulting, Inc. (MANCON), a Virginia Beach, VA based provider of logistic, professional, technical, and administrative support services to a wide range of Department of Defense, federal, state, and industry customers. Mann, Armistead & Epperson, Ltd. advised Empire Machinery & Supply Corporation in this transaction.

Dreamwell, Ltd.

Simmons Company engaged Mann, Armistead & Epperson, Ltd. to assist in reviewing marketplace options, soliciting potential partners and executing a transaction as part of the process of finding a new upholstery partner. Simmons is one of the world’s largest mattress manufacturers, manufacturing and marketing a broad range of products under its well-recognized brand names. Simmons is partnering with United Furniture Industries to brand a collection of furniture with the Simmons and Beautyrest brands. The license agreement combines the strength of Simmons’ technology and brand names with the fashion-forward look of United Furniture’s lines of stationary upholstery, motion upholstery, recliners and sleepers. Mann, Armistead & Epperson, Ltd. advised Dreamwell, Ltd. in this transaction.

Wellmark, Inc.

Wellmark, Inc. is a large-scale, post-industrial, plastic-waste recycler located in Asheboro, NC. Wellmark recycles plastic scrap into pellets or flake. Purchased scrap material is ground, contaminants removed, and the resulting plastic product is reprocessed where any required additives and colorant are compounded into the material. The material is tested to determine its physical, chemical, and processing properties, and then is ready to be used in an injection molding process. The recycled plastic has properties similar to “virgin” polypropylene but its lower cost makes it very attractive for many applications. Wellmark was acquired by Technimark, Inc., an Asheboro, NC based injection molder of plastics. Mann, Armistead & Epperson, Ltd. advised Wellmark, Inc. in this transaction.

Copperweld Bimettalics, LLC

Copperweld Bimetallics, LLC, the leading U.S. manufacturer of bimetallic wire was acquired by Fushi International, Inc., (Nasdaq: FSIN), the leading Chinese manufacturer of bimetallic wire. Based in Fayetteville, Tennessee, Copperweld is a leading manufacturer of bimetallic wire, principally copper clad steel (CCS) and copper clad aluminium (CCA). Copperweld produces a range of products for use in communications, utility, transportation, and industrial applications in both the U.S. and international markets. A second manufacturing location in Telford, England principally services the growing European market. Fushi International Inc. through its wholly-owned subsidiary, Fushi International (Dalian) Bimetallic Cable Co., Ltd, manufactures bimetallic composite wire products, principally CCA. Mann, Armistead & Epperson, Ltd. advised Copperweld Bimetallics, LLC in this transaction.

Technimark, Inc.

Technimark, Inc., headquartered in Asheboro, NC, is an injection molder of plastics with multiple plant locations in the United States, Mexico, Germany and China. The Company provides molding, sub-assembly, and decoration, as well as, industrial design, engineering and tool building services to many of the largest companies in the U.S. The Company operates two primary divisions: Consumer Packaging and Diversified Products. The Company’s Consumer Packaging business specializes in molding high-volume, rigid thermoplastic packaging for consumer products, and its Diversified Products division supplies sub-contracted custom molding services to several large OEMs. Technimark produces products from make-up compacts to DVD cases and from in-mold labeled cups to power tool casings. Technimark was acquired by the senior management of Technimark and a private equity sponsor. Mann, Armistead & Epperson, Ltd. advised Technimark, Inc. in this transaction.

Bassett Furniture Industries, Inc.

Weiman Upholstery, located in Christiansburg, Virginia, had been a division of Bassett Furniture Industries, Inc. since 1979. Weiman specializes in, and is considered to be among the leaders in, designing and manufacturing high-style contemporary seating and furniture, including product lines designed by renowned international designers such as Vladimir Kagan and Stanley Jay Friedman. Preview Furniture, Inc., another high-end contemporary manufacturer, was acquired by Bassett in 2003 and placed under the Weiman/Preview Upholstery Division. Mann, Armistead & Epperson, Ltd. was hired by Bassett Furniture to locate a potential acquirer for the Weiman/Preview Upholstery Division since it did not strategically fit with Bassett’s core business and/or its growing emphasis on its retail store network. Interlude Home, Inc. acquired Weiman/Preview and is a privately owned upscale accessories and accent furniture supplier, headquartered in Trumbil, Connecticut, and specializes in fashion-forward trend items.

Carolina Container Company

Carolina Container Company, headquartered in High Point, NC is a manufacturer of corrugated products with printing capabilities and has facilities in North Carolina and South Carolina. Carolina Container acquired Scotland Container, Inc., headquartered in Laurinburg, NC, a converter and printer of corrugated sheets with facilities in North Carolina, Tennessee and Virginia. Mann, Armistead & Epperson, Ltd. served as the exclusive financial advisor to Carolina Container in this transaction.

Barcalounger Corp.

Barcalounger Corporation, owned by Citicorp Venture Capital, Ltd., is headquartered in Rocky Mount, NC and is a manufacturer of upper-end leather motion furniture using the brand name Barcalounger, as well as an importer of leather motion and stationary furniture using the brand name Wayne Phillips. The company markets its products to retailers across the U.S. and Canada. Barcalounger was aquired by Hancock Park Associates, a California based private equity firm. Mann, Armistead & Epperson, Ltd. advised Barcalounger Corporation in this transaction.

American Furniture Company

American Furniture Company d/b/a American Home was recapitalized by Mr. Lee Blaugrund, President and Chief Executive Officer of American Home and Hancock Park Associates, a California based private equity firm. American Home is a leading retailer of furniture, bedding and other home products in the Southwest market of the United States. Headquartered in Albuquerque, New Mexico, American Home operates ten retail locations in New Mexico and Arizona. Mann, Armistead & Epperson, Ltd. advised American Home.

Durham Furniture Industries, Inc.

Founded in 1896 and based in Ontario, Canada, Durham Furniture Industries, Inc. is a manufacturer of medium to upper-medium priced bedroom furniture. Mann, Armistead & Epperson, Ltd. was hired by Durham’s Board of Directors to serve as the Company’s financial advisor to maximize long-term shareholder value and to assist in long-term strategic planning. Once hired, our firm realized Durham’s immediate need to recapitalize its long-term credit facilities. More specifically, Durham needed senior credit facilities which matched the changing landscape of the furnishings industry. Our firm assisted in structuring, negotiating and executing Durham’s new credit facilities with the Royal Bank of Canada.

IBC Group, Inc.

IBC Group, Inc. was recapitalized by the founding Ellman family and Brockway Moran & Partners, Inc., a Florida based private equity firm. IBC, headquartered in Fort Lauderdale, Florida, is a leading national manufacturer of quality mattresses and foundations operating under the name of International Bedding Corporation. The Company operates ten manufacturing facilities in eight states strategically located around the country to serve retailers nationally. IBC offers a variety of mattress types that are marketed through leading mattress retailers, furniture retailers and mass merchandisers as well as the hospitality trade. Due to the Company’s rapid growth, the Ellman family sought an equity partner that would continue to support its domestic growth as well as provide future capital for IBC’s international growth opportunities. Mann, Armistead & Epperson, Ltd. served as advisor to IBC Group, Inc.

IMS Environmental Services, Inc.

IMS Environmental Services is an environmental and marine services company with multiple offices, located from Maryland to North Carolina. IMS is headquartered in Norfolk, Virginia and provides services such as emergency response, site remediation and marine and industrial tank cleaning to local, state and federal governments as well as commercial and industrial clients. IMS was acquired by HEPACO, Inc., a Charlotte, NC based environmental service company specializing in land-based environmental services throughout the southeast. Mann, Armistead & Epperson, Ltd. served as advisor to Industrial Marine Service, Inc.

Harlem Furniture Sponsor Group

Harlem Furniture, Inc. is a fifteen store, mid-priced furniture retailer in the greater metropolitan Chicago area. Harlem specializes in complete furniture room solutions for the home, including bedding and accessories. Harlem was recently recapitalized by Bear Growth Capital Partners, Pouschine Cook Capital Management, LLC, Mercantile Capital Partners, LLC and Bruce Berman, Chief Executive Officer of Harlem Furniture. Mann, Armistead & Epperson, Ltd. served as advisor to the sponsor group of Bear Growth Capital Partners, Pouschine Cook Capital Management, LLC and Mercantile Capital Partners, LLC.

American Furniture Manufacturing, Inc.

American Furniture Manufacturing, Inc. is a leading manufacturer and supplier of upholstered furniture for the promotional market segment. American offers a full line of popular stationary and motion sofas, loveseats, and reclining and occasional chairs. The Company was acquired by AFM Holdings, LLC, a holding company formed by the Investor Group of Hunt Private Equity Group, Hampshire Equity Partners and Pittco Capital Partners. Mann, Armistead & Epperson, Ltd. served as advisor to AFM Holdings.

Sealy Corp.

Sealy Corporation, headquartered in Trinity, North Carolina, is the world’s largest manufacturer of bedding products with sales of $1.2 billion in 2003. The Company manufactures and markets a broad range of mattresses under the Sealy®, Sealy Posturepedic®, Stearns & Foster®, and Bassett® brands. The Company was acquired by Kohlberg Kravis Roberts & Co. (KKR), based in New York and one of the world’s leading private equity firms, for approximately $1.5 billion from Bain Capital, also a leading private equity firm based in New York. As a special advisor to KKR, Mann, Armistead & Epperson, Ltd. provided industry related information critical to the acquisition process. Our firm also provided similar advisory services to Bain in 1999 during their acquisition of Sealy.

STS Linens, Inc.

STS Linens, Inc., d/b/a Southern Textiles, was a privately-owned manufacturer of top of the bed linens and other bedding accessories based in Forsyth, Georgia. Our firm was engaged by the Company to assist in its sale to a strategic acquiror. The principals had determined that the Company lacked the requisite capital and desirable sourcing to maximize its future growth. Mann, Armistead & Epperson, Ltd. marketed the business to strategic acquirors who had the capital and sourcing abilities necessary for the Company to reach the next level of performance. The assets of Southern Textiles were sold to Leggett & Platt, Inc., a $4.4 billion conglomerate based in Carthage, Missouri.

LADD Furniture, Inc.

LADD Furniture, Inc. was a $500.0 million manufacturer and distributor of residential and contract furnishings. Our relationship with LADD spanned over a decade and involved several corporate finance and research related projects. In 1996, and as part of LADD’s operational and financial restructuring, we advised LADD in connection with the private placement of $190.0 million of senior notes. Several years later, as this sector of the industry continued to consolidate, we initiated discussions concerning the strategic benefits of a merger with one of the industry’s largest manufacturers, La-Z-Boy, Incorporated. Within two months we advised LADD’s Board of Directors on the merger between LADD and La-Z-Boy. At this time, this acquisition represented one of the largest transactions in the furnishings industry sector. Mann, Armistead & Epperson, Ltd. initiated this transaction, assisted in structuring the offer and advised the Board of Directors.

DMI Furniture, Inc.

DMI Furniture, Inc. based in Louisville, Kentucky, with a significant amount of its operations in mainland China, is a manufacturer and distributor of residential and office furnishings. This company represents a typical long-term relationship for our firm. Over an 8-10 year period, we assisted DMI through several tiers of transactions which ultimately resulted in its merger with Flexsteel Industries, Inc. Prior to the Flexsteel transaction, we advised DMI’s Board of Directors regarding its redemption of its preferred stock and provided valuation services for the company. In addition, one of our professionals served on DMI’s Board of Directors and as Chairman of its Audit Committee. In August 2003, we successfully advised a Special Committee of DMI’s Board of Directors regarding its merger with Flexsteel Industries, Inc. Mann, Armistead & Epperson, Ltd. initiated this transaction, assisted in structuring the offer and advised the Special Committee in connection with this transaction.

RVL Packaging, Inc.

Based in Los Angeles, California and with subsidiary corporations in Germany, Mexico, Hong Kong and Guatemala, RVL Packaging is widely recognized as one of the apparel industry’s leaders in manufacturing, distribution, design and marketing of woven and printed labels, graphic tags and specialty packaging products. Our involvement with RVL and its sister company L&E Packaging (Greensboro, NC and Hong Kong) spanned over a six year period. Subsequent to divesting L&E to the Stephens Group of Little Rock, Arkansas, Mann, Armistead & Epperson, Ltd. was engaged by RVL to assist them in understanding the potential demand for their business on a global basis. In an important strategic evolution for RVL, our firm assisted RVL to structure, negotiate and complete its $150.0 million sale to Avery Dennison Corporation.

Norfolk Ship & Drydock Corp.

Founded in 1915, Norfolk Ship and Drydock Corporation (NORSHIPCO) is one of the largest non-nuclear ship repair, modernization and conversion companies in North America. Our involvement with NORSHIPCO spanned a 10 year period over which Mann, Armistead & Epperson, Ltd. successfully completed six different merger and recapitalization transactions. As one of Virginia’s largest private corporations, NORSHIPCO utilized its excess capital in 1970/1980 to diversify its holdings through the acquisition of several businesses. In an effort to return to its “base business”, our firm assisted NORSHIPCO in divesting its financial (banking), insurance and non-shipbuilding repair subsidiaries to independent parties. Subsequent to those divestitures we restructured NORSHIPCO’s balance sheet through the refinance of its credit facilities. With the divestiture of non-core assets and a restructured balance sheet we commenced a sale process to take advantage of the consolidating ship repair industry. This process concluded with the acquisition of NORSHIPCO by an affiliate of The Carlyle Group, a Washington D.C. based private equity firm. During our affiliation with NORSHIPCO, Mann, Armistead & Epperson, Ltd. served as an advisor to the board and a director of several of NORSHIPCO’s subsidiaries.

Doughtie’s Foods, Inc.

Doughtie’s Foods, Inc., based in Portsmouth, Virginia is a distributor of food service products throughout the mid-Atlantic region of the United States. Prior to its acquisition, Doughtie’s was a thinly traded public company with a large minority position owned by a family trust. Mann, Armistead & Epperson, Ltd. first became involved with Doughtie’s when one of its major competitors filed a SEC Form13-D report subsequent to acquiring a 9.0% stake in Doughtie’s. Our firm was hired by the Board of Directors of Doughtie’s to help them review their options as related to this competitor as well as other opportunities to maximize shareholder value. After reviewing all scenarios, the Board elected to initiate an auction process to sell the company. We prepared materials and contacted numerous financial, strategic and international parties. We ultimately elected to negotiate a definitive merger agreement and commence a tender process with SYSCO Corporation (SY–NYSE), a $17 billion Texas based food distributor. Our firm acted as financial advisor to the Board of Directors and to the Special Committee.

L&E Packaging, Inc.

L&E Packaging, Inc., based in Greensboro, North Carolina and Hong Kong was a privately-owned and family-controlled manufacturer of printed identity tags for the apparel industry. Mann, Armistead & Epperson, Ltd. was first engaged by L&E when the company received an unsolicited offer from a competitor based in Europe. Upon analysis, it was determined that the family was preparing for a transition of ownership and desired to seek liquidity for its holdings. More importantly, the family wanted the management team to partner with a financial sponsor, retain ownership and potentially have a “second bite at the apple”. Our firm structured a process which focused primarily on private equity firms as opposed to strategic buyers who would want 100% control. We ultimately structured an $80.0 million management led buy-out backed by the Stephens Group of Little Rock, Arkansas.

Falcon Products, Inc.

Falcon Products, Inc., based in St. Louis, Missouri, is a $300 million manufacturer and distributor of tables and seating for the contract furnishings industry. Our relationship with Falcon has spanned many years through equity research coverage. This in depth knowledge played a critical role when Falcon went to the market to refinance its senior credit facilities. Mann, Armistead & Epperson, Ltd. was hired by Back Bay Capital to assist in understanding the contract furnishings sector and with relevant valuation information for Falcon and its divisions.

Pulaski Furniture Corp.

Founded in 1955, Pulaski Furniture Corporation is a manufacturer and distributor of residential home furnishings with operations in Virginia and China. Mann, Armistead & Epperson, Ltd.’s relationship with Pulaski spans over a twenty year period with a wide variety of research and corporate finance services being performed. Over the years we published securities research on Pulaski, divested its Craftique subsidiary, acquired Dawson Cabinet Company and assisted the Board of this public company in establishing a “Poison-Pill” anti-takeover mechanism. Our most recent transaction with Pulaski was a management led “going-private” transaction. With very little “float” and a mid-sized market cap, we approached Pulaski management about seeking a financial partner. With Board approval we solicited a small group of financial partners and Quad-C Management, Inc., a Virginia based private equity firm with $500 million under management was selected to participate in the management led buy out transaction.

Adam Wuest, Inc.

Founded in 1850 in Cincinnati, Ohio, Adam Wuest is a leading producer of Serta, Inc. brand mattresses and boxsprings. At the time of the transaction, Adam Wuest was one of the eleven regional manufacturers licensed to manufacture the full-line of Serta products. Our firm first became involved with Adam Wuest subsequent to our $80.0 million divestiture of Dixie Bedding, a sister Serta licensee company. Our role was to assist Adam Wuest, a sixth generation family owned business, through a transfer of ownership with Serta licensees going through a roll-up by two different private equity firms. Mann Armistead & Epperson, Ltd. was asked by the Company to prepare materials and solicit the interest of those two private equity firms. Within sixty days, our firm was successful in transferring ownership of Adam Wuest for $62.0 million in cash to an affiliate of CitiCorp Venture Capital (CVC).

Winsloew Furniture, Inc.

Based in Birmingham, Alabama and with approximately $300 million of revenue, WinsLoew, Inc. (d/b/a Brown Jordan) is a designer, manufacturer and distributor of luxury retail and contract furnishings. Mann, Armistead & Epperson, Ltd. first became involved with the Company when Trivest, Inc., a Florida based private equity firm acquired Winston, Inc. Subsequent to this transaction, our firm published research on Winston and assisted in the merger between Winston and Loewenstein Group to create WinsLoew, Inc. and assisted in the divestiture of Continental Engineering, Inc. (a California based subsidiary). In our most recent transaction, we advised a Special Committee of WinsLoew’s Board of Directors in a $291.0 million “going-private” transaction.

Circuit City Stores, Inc.

Based in Richmond, Virginia, Goldberg Company, Inc. is a second generation family owned holding company. Mann, Armistead & Epperson, Ltd. was first engaged to help the family understand the financial market place as it related to the value of its business. Subsequent to this analysis, our firm commenced a sell-side process to divest Goldberg’s GCI Appliance Division, which distributed contract appliances to the builder trade. As a result of the solicitation process, the family elected to negotiate a definitive merger agreement with Circuit City Stores, Inc. (CC—NYSE) a $10.0 billion retailer of consumer electronics.

W. S. Badcock Corporation

Eastern Sleep Products, Inc.

Mor Furniture For Less, Inc.