Confluence Advisors, LLC (“Confluence”) acted as the exclusive Investment Banker to Everest Holding Company, parent company of Northwood Realty Services (“Northwood”) in the placement of senior debt financing which enabled Northwood to acquire Berkshire Hathaway HomeServices the Preferred Realty, and all its related entities. The transaction closed in June 2018.
Northwood and the Preferred Realty will combine to create a new family of companies that will operate as Berkshire Hathaway HomeServices The Preferred Realty. The Preferred Realty and its family of companies will be the number one residential real estate broker in the region in volume, sales and active listings, based on the West-Penn Multi-List year-to-date May data for 2018. It will have more than 1,800 agents, employ more than 200 and have more than 50 offices across 22 counties in Western Pennsylvania and Eastern Ohio. Additionally, the firms generated $85 million in gross commission income in 2017, placing the new company in the top ten among all Berkshire HomeServices brokerages.
Confluence solicited interest from a targeted list of both traditional banks and senior cash flow lenders. After receiving multiple term sheets, Northwood selected Santander Bank as its new lender. Confluence’s experience in identifying lenders and running an expedited financing process resulted in a solution for the Company that provided acquisition financing and liquidity for ongoing operations.
“Confluence Advisors was great to work with and was remarkable in raising favorable financing terms for this acquisition. Their expertise opened the door for financing opportunities that we would not have been able to find on our own.” said Tom Hosack, Northwood's President and CEO.
About Confluence Advisors, LLC
Confluence helps business owners maximize the sale of a business, raise optimal funding, or acquire a business. With over 80 years of combined deal experience and more than $1.5 billion in transactions, the Confluence team works every day to help companies and their stakeholders through critical business transitions. The above testimonials may not be representative of the experience of other customers and is not a guarantee of future performance or success.
Confluence Advisors, LLC is pleased to announce that it advised Mission Critical Partners, a leading provider of consulting and life cycle management services to the public safety sector, on its sale to Egis Capital Partners, a Summit, New Jersey private equity firm. Confluence Advisors acted as the sole and exclusive advisor to the sellers in the transaction.
Headquartered in Port Matilda, Pennsylvania, MCP offers advisory and support services to public and private entities seeking to improve the communication of critical information to first responders.
MCP enables 911 and public safety answering points ("PSAPs") to leverage significant advancements in telecommunication to improve the flow of voice and data to first responders, leading to better outcomes in emergency situations. "We believe MCP will play an important role in the creation of safer and smarter cities across the United States and look forward to providing the financial and strategic resources needed to facilitate this transformative opportunity. MCP has an exceptionally talented management team and outstanding depth of experience in the public safety sector," said Robert Chefitz, Founder and Managing Partner at Egis.
MCP's management team believes the decision to partner with Egis will allow them to better serve their existing customer base while pursuing attractive growth opportunities. The investment represents the first outside capital in MCP. "This partnership will enable us to grow our business in new and exciting ways by expanding to new geographies. It will also create opportunities for us to better serve our clients and offer greater room for growth to our employees," said Kevin Murray, MCP's President and CEO.
Confluence Advisors is pleased to announce that it advised West Penn Non-Destructive Testing, LLC, a leading provider on non-destructive testing services, on its sale to Mistras Group, Inc. (NYSE:MG).
West Penn, headquartered in New Kensington, Pennsylvania, with additional locations in Richburg, South Carolina and Savannah, Georgia provides a wide variety of non-destructive testing services primarily serving aerospace clients, but also provides testing services for the metals, automotive, manufacturing, military and automotive industries. West Penn is Nadcap accredited, ISO 9001 and AS 9100 certified, and complies with an extensive array of client and industry codes and specifications.
West Penn's President Jim DeCellis will function as Mistras Group's regional manager overseeing the West Penn business as part of the Company's Services segment.
Chief Executive Officer Dennis Bertolotti stated, "We are excited to welcome West Penn to Mistras Group. The entire West Penn team has been extremely focused on developing strong relationships with tier one and tier two suppliers and supports important new product innovations within the aerospace industry. West Penn is not only an important addition to our team, but also a key part of our strategy to increase our aerospace business and our focus on new aerospace engine programs."
Confluence Advisors acted as exclusive financial advisor to West Penn Non-Destructive Testing, LLC and Metz Lewis Brodman Must O’Keefe LLC provided transaction counsel.