Calico Industries Inc. has completed a going concern sale transaction with Mill Street Ventures LLC of Flowood, MS. Mill Street’s parent company, Jamas Capital Management, owns Arrow Distribution, which operates a similar business to Calico Industries in Mississippi. Equity Partners HG, a Maryland-based investment banker, served as intermediary for the seller.

Since its founding in 1923, Calico Industries Inc. has been providing quality products and excellent customer service to the food service, workplace safety and janitorial industries. Headquartered in Maryland, with a redistribution facility in Florida, it represents a variety of manufacturers and offers a broad range of competitively priced products to amusement parks, restaurants, municipalities, school systems, general contractors, prisons, healthcare facilities, hospitality businesses and various other institutions. It is one of the nation’s largest poly bag liner resellers, offering various custom options to meet the diverse needs of its clients. Additionally, it provides consultative services for customers that are looking for ways to save money, streamline their bidding process, manage inventory, or install or renovate commercial kitchens. These services continue to complement its core product lines and help customers make informed buying decisions through one consolidated source.

In late October 2016, Calico Industries retained Equity Partners HG as the exclusive broker for the company. Calico had seen a reduction in its revenues over the past several years and was losing money annually. Equity Partners HG’s charge was to quickly find a buyer for the business before it was forced to shut down. The company ran an exhaustive marketing process reaching out to thousands of prospective buyers.  Following a thorough evaluation of the market, Equity Partners HG narrowed the field of more than 40 active prospects down to the three most logical buyers. After extensive negotiations with all three buyers, Mill Street was finally approved as the successful suitor for the business. Almost all 47 full time employees were retained, and the business continues to operate.

Fred Cross, managing director at Equity Partners HG said, “This was an outstanding result.  Calico Industries Inc. brings countless synergies to Mill Street Ventures and the sale brought a far greater recovery to creditors than liquidation would have. Keeping the jobs in Annapolis Junction, Md. and building on these synergies will make this acquisition a great success for Mill Street long into the future. All of us at Equity Partners HG are happy to see an outcome like this and we look forward to Calico providing another 90+ years of continued service.”

Other professionals who worked on the transaction include:

•             Irv Walker, Cole Schotz, P.C., counsel to Calico Industries Inc.

•             Morris Garten and Jerry Moses, Fedder and Garten PA, counsel to Calico Industries Inc.

•             Doug Noble, McCraney, Montagnet, Quin & Noble, PLLC, counsel to Mill Street Ventures LLC

•             Patrick McCraney, McCraney, Coco & Lee, PLLC, counsel to Mill Street Ventures LLC

About Equity Partners HG:

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