Southfield Capital Advisors has bought Hallcon Corp. The seller was PRIVEQ Capital Funds and Hallcon senior management. Financial terms weren’t announced. Toronto-based Hallcon provides specialty outsourced services to the railway and transit sectors in North America. News of the sale was disclosed by Imperial Capital which provided financial advice to Hallcon.
Imperial Capital, LLC announced that it acted as exclusive financial advisor to Hallcon Corporation (“Hallcon” or the “Company”) in its acquisition by Southfield Capital Advisors. Hallcon is one of the leading providers of specialty outsourced services to the railway and transit sectors in North America. Prior to the transaction, Hallcon was owned by Canadian private equity firm, PRIVEQ Capital Funds and senior management of the Company. The transaction provided for a successful exit for the Company’s private equity sponsor and a partial liquidity event for senior management, who invested alongside Southfield Capital Advisors in the transaction and will continue running the business under its new ownership and capital structure.
Tony Plutt, CEO of Hallcon, commented on the transaction, “Imperial Capital was instrumental in executing a successful transaction. The depth of the deal team and their industry and market expertise were invaluable throughout the process. Imperial Capital correctly positioned the Company in the market and drove the sales process while allowing the management team to focus on running the business.”
“We are thrilled to have provided a liquidity event for the shareholders of Hallcon as well as finding a partner with the ability to help the Company continue its strong growth trajectory and expansion into the U.S.,” said Jay Beaghan, Managing Director at Imperial Capital. John E. Mack III, Co-Head of Investment Banking and Head of M&A, added, “This transaction highlights Imperial Capital’s expertise in the business services market segment as well as our firm’s ability to work successfully with international clients.”
About Imperial Capital, LLC
Imperial Capital, founded in 1997, is a full-service investment banking firm with offices in Los Angeles, New York, San Francisco, Minneapolis, Boston, and Chicago. The firm currently employs over 180 professionals and offers a wide range of proprietary products and services to institutional investors, middle market companies, and private equity firms. Imperial Capital provides institutional clients research and sales and trading of high yield and distressed debt securities, bank debt, convertible bonds, preferred stocks, and equities. The firm provides middle market companies and financial sponsors with capital markets, merger and acquisitions, capital structure, restructuring and recapitalization advisory services. More information about Imperial Capital can be found at www.imperialcapital.com.