Heritage Equity Partners (HEP), a premier investment banking and M&A advisor to distressed organizations and special situations, announced that the company advised Crescent & Sprague Supply Co., Inc. (C&S) in the successful sale of substantially all its assets to McConnell Holdings, Inc. (McConnell). 

The transaction was effectuated through a Chapter 11, Section 363 sale. The U.S. Bankruptcy Court for the Southern District of Ohio, Eastern Division approved the transaction on January 14 and the transaction closed on January 19.
 
C&S retained HEP as its investment banker to seek debt or equity financing, a joint venture partner or a buyer for substantially all its assets. HEP conducted a comprehensive marketing process, resulting in a wide range of potential lenders, investors and buyers conducting due diligence. HEP gained agreement from C&S’ lender, Crestmark, to continue financing operations while conducting the sale process.  

“It is extremely gratifying to have helped craft a solution that not only allows C&S to continue operations, but also lets the majority of C&S’ 37 employees keep their jobs,” said Hank Waida, managing director of HEP.

HEP's extensive experience with identifying potential buyers and executing an expedited sales process, along with guidance from debtor’s counsel, Myron N. Terlecky of Strip, Hoppers, Leithart, McGrath & Terlecky Co., LPA, made it possible for C&S to continue as a going concern, preserved jobs for the majority of C&S’ employees and maximized recovery for C&S’ creditors.

Headquartered in Marietta, Ohio, C&S is a 119-year-old leading wholesale and industrial distributor of quality electrical, plumbing, HVAC and waterworks supplies. The company services industrial accounts, schools, hospitals and colleges in southern Ohio and W. Va. 

In addition to Hank Waida and Ken Mann, other professionals who also worked on the transaction include:

• Tom Coughlin, Jaffe Raitt Heuer & Weiss, P.C. (Crestmark Bank)
• Shay E. Meagle, Puccini & Meagle, P.A. (Settlers Bank)
•  Christopher P. Schueller, Buchanan Ingersoll & Rooney PC (Summitbridge National Investments IV, LLC)
• Khadine L. Ritter and Abe Sellers, Theisen Brock (C&S)
• Jeffrey D. Musselman, Esq., Taggart Law Firm, LPA (McConnell)

Heritage Equity Partners (HEP) provides boutique investment banking services for special situations. Recognized as the nation’s leader in maximizing value for distressed businesses and properties, HEP uses a proven process that has provided solutions for over 450 clients throughout the United States since 1988, preserving more than 40,000 jobs. HEP is a wholly owned subsidiary of Heritage Global Inc.