MHX Holdings, LLC

Fourth-generation managed and family-owned MHX is a fully integrated logistics and supply chain management company for last/first-mile rail-based freight transport. The Company performs transloading, transportation, warehousing, port, and drayage services for corporate and institutional customers. ​

Supporting its services is MHX’s in-house developed, award-winning supply chain software system “Transload Pro,” a Web-based portal and the only system on the market providing a seamless single information source for all operations from rail inbound to truck outbound, including inventory management and live load transit tracking.  MHX is the link between rail, ports and customer locations and warehouses. ​

 Engagement Profile

-  Sell-Side M&A Advisory

555 Capital’s Solution

MHX was owned by two families with over 100 years of history in the fragmented rail transloading and drayage market.  The families engaged 555 Capital as their exclusive advisor in transaction preparation, marketing to institutional private equity and corporate buyers, and negotiating the transaction.​

After receiving multiple offers from corporate and private equity buyers, MHX selected Union Pacific Corporation, a Fortune 100 class, $150 billion railroad company. The buyer viewed MHX as a strategic acquisition to develop its logistics category and drive rail car growth. The MHX acquisition would serve as a platform for the buyer’s future acquisitions and incorporate MHX technology and management into its existing transload facilities. ​

“555 prepared and positioned our company very well for the multiple buyer discussions they initiated and directed. The result was the perfect buyer at the perfect time.”​

– Rick McLeod, CEO

Labeltronix

Labeltronix is a manufacturer of premium craft labels headquartered in Anaheim, CA. The company serves some of the country's most prominent brands, in a variety of markets including wine and spirits, craft beer, nutraceutical, food and beverage and other CPG sectors. The business will continue to operate under the Labeltronix name.

Labeltronix was originally founded in 1993 by partners Dan Blair and Eric Shephard. John Trail joined as a partner shortly thereafter to manage the company as President. The company has grown with impressive efficiency and established itself as one of the leading, independent specialty label manufacturers on the West Coast. Over time, the company attracted increasing levels of inbound acquisition interest.  Labeltronix owners decided to seriously entertain buyer interest and subsequently engaged 555 Capital to assist in evaluating and advising its approach and alternatives.

 Engagement Profile

-  Sell-Side M&A Advisory

555 Capital’s Solution

555 developed a tailored approach unique to Labeltronix and its desire to be highly selective in buyer conversations within a narrow time frame. Ultimately, the transaction was completed in an expedited manner to the satisfaction of all parties.

“The 555 team provided Labeltronix excellent advice and guided our team through every aspect of our transaction with thoughtfulness and professionalism. They were effective in highlighting the strengths of our business and running a disciplined process. Andre Guardi and his team worked seamlessly with our team and our outside advisors to deliver an outstanding outcome for the company.”

– Dan Blair, Owner & Partner, Labeltronix

Preferred Property Maintenance

Preferred Property Maintenance (PPM) is a Southern California based full-service commercial property maintenance provider headquartered in Irvine, CA. From its origin over thirty years ago in 1987, PPM has worked diligently to establish excellent service standards that are unequaled in the industry. These service standards clearly set PPM's work ahead of the competition and continue to guide the entire staff today with its many long term customers. PPM offers an extensive range of services to ensure that clients are covered in all aspects. PPM's services include General Maintenance, Electrical, Lighting, HVAC, Plumbing, Fire Systems, Preventative Maintenance, Holiday Décor and more.

The company was managed by Jay Manoogian.

Engagement Profile

Sell-Side M&A Advisory 

555 Capital’s Solution

555's efforts included preparing developing PPM marketing materials, organizing diligence information and approaching a range of potential buyers, including independent corporations as well as private equity backed organizations. Ultimately, an independent corporate buyer with complementary, but not competitive, services and adjacent geographic markets was selected to complete the successful transaction.

"Andre and his team at 555 Capital Advisors shared their knowledge and understanding in keeping both myself and staff very comfortable of all the moving parts. The professionalism of maintaining an even keel and moving both sides to achieve a favorable result to each was second to none."

– Jay Manoogian, President & CEO, Preferred Property Maintenance

VFS Fire & Security Services

VFS is a nation-wide source for exemplary fire and security services for commercial buildings and special hazards. The company’s fire and life safety systems integrate every aspect of a building from security systems, to fire protection and suppression to alarm and communication systems.

MeshWrx, an affiliated VFS company, provides reliable, cost-efficient and hassle-free fire alarm monitoring solutions.  Originally built for the demanding military, police, and fire communication, MeshWrx radio frequency’s quick response times and unparalleled reliability are proven to be the most effective choice in protecting lives and property.

The companies were founded and managed by Randy Nelson. Prior to becoming acquainted and engaging 555 Capital, Mr. Nelson had been approached and signed a letter of intent to be acquired by Fortis Fire & Safety.

Engagement Profile

Sell-Side M&A Advisory 

555 Capital’s Solution

Through 555’s efforts the final transaction terms included material increases in the economic value and improvements to other transaction terms from the original letter of intent.  The incremental value associated with the positive deal term changes far exceeded the fees 555 Capital earned.

"The 555 team worked relentlessly though a very difficult process. Not only did I get the deal I wanted, but they helped manage my emotions and took on the brunt of the difficult discussions with the buyer. Andre was instrumental in finding creative ways to structure the deal that benefited me greatly.” 

- Randy Nelson, CEO and Founder, VFS Fire & Security