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Seattle, WA, November 7, 2019 –
JD
Merit, a Tacoma, Washington based middle-market investment bank, is pleased to
announce a growth capital investment in Apex Linen Service LLC (“Apex Linen”)
by an affiliate of Highland Avenue Capital Partners LLC (“Highland”).
JD
Merit served as the exclusive financial advisor to Apex Linen throughout the
process.
Apex
Linen is a privately-owned company based in Las Vegas that specializes in linen
and laundry services for the hospitality industry.
“We ran a wide process with a number of investors interested in Apex Linen,” said Merit Investment Bank Managing Director Phillip Cooper, who was the lead banker on this transaction. “In the end, it was very gratifying to introduce Apex Linen to Highland, given their knowledge and experience in the laundry industry. Led by long-time industry expert Joseph Dramise, Apex Linen is well positioned for the tremendous growth opportunities they have ahead of them.” “The Apex Linen deal was a strategically important deal in the highly competitive business process outsourcing (BPO) market,” explained Merit Investment Bank CEO Craig Dickens. “Finding the right buyer to enable Apex Linen management and ownership to realize their goals and grow the business rapidly was critical.”
About
Merit Investment Bank:
Merit Investment Bank is a leading Boutique Investment Bank
focused on serving middle market companies. They are a client-focused team of
experienced entrepreneurs, operating executives, and investment bankers with
expertise in a broad range of industries.
Merit Harbor, member FINRA / SIPC, is a full-service Broker Dealer
licensed in 50 states executing sell-side and buy-side M&A transactions,
debt and equity capital raises, corporate finance, real estate development and
project finance.
About Apex Linen:
Founded
in 2010 by long-established industry expert, Joseph Dramise, Apex Linen is a
provider of commercial laundry and linen services to the hotel and gaming
industry in the Las Vegas metropolitan area. Apex Linen maintains a reputation
for providing the highest quality commercial laundry services in the region and
services many of the largest hotels on the Las Vegas strip.
About Highland Avenue Capital Partners:
Founded in 2016, Highland Avenue Capital Partners is a private investment firm based in Hermosa Beach, California. The firm focuses on creating transformational value with lower middle market companies within the business services sector.
Date:
Analyst:
Client / Target:
Buyer / Acquirer:
1. Executive Summary
Provide a concise overview of the buyer, their relevance to the transaction, and the recommendation outcome.
- Buyer Type: [Strategic / Financial / Individual / Family Office / PE Group]
- Transaction Objective: [Acquisition / Merger / Investment / Minority Stake]
- Fit Summary: [Strong / Moderate / Weak]
- Recommendation: [Proceed / Further Review / Not Recommended]
2. Buyer Overview
Detail the buyer’s background, structure, and operational scope.
- Legal Name:
- Headquarters Location:
- Founded:
- Ownership Structure: [Public / Private / Subsidiary / Fund-backed]
- Key Executives: [List Names and Titles]
- Business Description:
- Core business model and markets served
- Recent performance highlights
- Strategic direction and acquisition history
3. Financial Profile
Provide financial strength and acquisition capacity.
| Metric |
FY2023 |
FY2022 |
FY2021 |
Notes |
| Revenue |
$ |
$ |
$ |
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| EBITDA |
$ |
$ |
$ |
|
| Net Income |
$ |
$ |
$ |
|
| Debt / EBITDA |
|
|
|
|
| Liquidity (Cash & Equivalents) |
|
|
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| Credit Rating / Bank References |
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Observations:
- Assess financial stability, leverage, and acquisition funding capacity.
- Note any recent financing rounds or divestitures that may impact transaction readiness.
4. Strategic Fit Analysis
Evaluate how the buyer aligns with the target’s sector, operations, and value proposition.
| Factor |
Evaluation |
Comments |
| Market / Sector Alignment |
|
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| Product / Service Synergies |
|
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| Geographic Overlap |
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| Cultural / Leadership Compatibility |
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| Acquisition History |
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Summary:
- Highlight integration opportunities and strategic rationale.
- Discuss any potential conflicts (e.g., overlapping clients or competitive products).
5. Transaction Readiness
Assess buyer’s ability and intent to complete a transaction.
| Criteria |
Rating |
Notes |
| Deal Experience |
High / Medium / Low |
|
| Management Commitment |
High / Medium / Low |
|
| Financing Certainty |
High / Medium / Low |
|
| Speed to Close |
High / Medium / Low |
|
| Due Diligence Responsiveness |
High / Medium / Low |
|
6. Risk Assessment
Identify potential issues that could affect deal success.
- Operational Risks: [Integration complexity, cultural mismatch, regulatory exposure]
- Financial Risks: [Over-leverage, uncertain funding, market volatility]
- Reputation Risks: [Litigation, ethics concerns, public perception]
- Execution Risks: [Deal fatigue, management bandwidth, approval bottlenecks]
7. Conclusion and Recommendation
Summarize the findings and proposed course of action.
- Overall Buyer Rating: [A / B / C / D]
- Transaction Feasibility: [Strong / Moderate / Low]
- Recommended Next Step:
- Proceed to next phase of discussions
- Request additional diligence materials
- Discontinue engagement
8. Appendices
- Financial statements (summary extracts)
- News articles and acquisition announcements
- Management bios
- Comparable transactions
Merit Investment Bank as a leading boutique investment bank is focused on entrepreneurial middle-market companies. Merit Investment Bank Executes sell-side M&A, buy-side M&A, and capital advisory services, debt and equity capital raises, corporate finance, and valuation services.
Securities offered through Finalis Securities LLC Member FINRA/SIPC. Merit Investment Bank and Finalis Securities LLC are separate, unaffiliated entities.
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