Representative Transactions

SC&H Capital Advises Sunset Olive Oil, LLC in Sale to New Mill Capital Holdings, LLC and Federal Machinery and Equipment Company

We engaged SC&H to help Pompeian sell assets on the West Coast and they helped us to maximize the value of the sale and coordinated the removal of equipment as we wound down our Montebello, CA facility. This coordination allowed us to better market the empty building as a warehouse versus a plant and to attract a larger pool of buyers for the remaining real estate. The bidding process utilized for the sale of equipment was unique and created a competitive atmosphere for our buyers and allowed us to maximize cash flow in a very difficult economic environment; while utilizing a very streamlined, proven process that was effective and efficient.

Jim Casey

CFO Pompeian, Inc.

Internationally known olive oil manufacturer, Pompeian, Inc., made the strategic decision to expand its production facilities at its Baltimore headquarters and cease operations in its Montebello, California bottling plant subsidiary, Sunset Olive Oil, LLC. SC&H Capital was retained to either identify a buyer able to use the facility with the equipment in place or sell the bottling equipment, which included 74 stainless steel holding tanks (located inside and outside of the building) and have it removed from the facility to expand the universe of potential real estate buyers.

SC&H secured offers from three different buying groups for the equipment and received three LOIs for the real estate (provided the equipment was removed). After reviewing all offers, the Pompeian team decided to designate a stalking horse bidder for the equipment and list the real estate for sale once the equipment had been removed.

An auction was conducted between the three equipment buyers, resulting in a purchase price increase of more than 25% over the initial stalking horse bid, a guarantee that all equipment would be removed by the end of 2023, and a significant financial penalty clause as assurance that the buyer would meet that deadline.