Business Services Monthly May 2015 - TM Capital Corp. · International, Inc. EIS, Inc. Distributes low voltage wires and ... Sumac Fabrication Co., Ltd. Thermon Canada Inc. Offers

11.4x

8.9x

11.8x

10.0x 10.8x

0.0

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

14.0x

16.0x

Facilities Industrial Distribution Logistics BPO

TEV

/ EBI

TDA

TEV / EBITDA LTM Gross & EBITDA Margins

1-Year Revenue GrowthTEV / Revenue

Target Acquiror Acquisition Synopsis

Faci

litie

s •

••

CBRE Group, a commercial real estate services and investment company, acquired Environmental Systems, a provider of systems integration and energy management services in the U.S.CBRE Group boosts their Facilities Management division, adding significant systems integration capabilitiesThis transaction marks the 13th acquisition for CBRE Group in 2015

Indu

stri

al •

•

North American Lifting, D.B.A. TNT Crane & Rigging, a provider of lifting equipment rental services, acquired RMS Cranes, a provider of material handling equipment rental services in ColoradoThe acquisition significantly expands TNT's footprint in the Rocky Mountains region and adds an additional 3 branches and 66 cranes

Dis

trib

utio

n •

••

Builders FirstSource, a manufacturer and supplier of structural and related building products, acquired ProBuild Holdings, a distributor of lumber and building materialsBuilders FirstSource acquired ProBuild Holdings for $1.93b (0.4x LTM revenue)This combination creates the largest supplier of lumber and building materials focused on the professional contractor in the U.S.

Logi

stic

s •

•

FedEx, a provider of transportation, e-commerce and businesses services, acquired Netherlands-based TNT Express N.V., an express delivery service to businesses and consumers worldwideFedEx acquired TNT Express N.V. from a consortium of sellers for $4.8b (0.6x LTM revenue). Sellers include BlackRock, First Eagle Investment Management, Investec Asset Management, and others

BPO

•

•

Iron Mountain, a provider of storage and information management services, acquired Recall Holdings, a provider of document management solutions, data protection services and digital solutionsIron Mountain acquired Recall Holdings for approximately $2.2b (15.9x LTM EBITDA). Recall Holdings had previously rejected a $1.8b bid from Iron Mountain in December 2014

Tab - 1. Headline Transactions Page 1

Business Services MonthlyMay 2015

Business Services Headline Transactions

0.9x

0.4x

1.0x 1.1x

1.3x

(0.1)

0.1x

0.3x

0.5x

0.7x

0.9x

1.1x

1.3x

1.5x


TEV

/ Rev

enue

19.7%

14.1%

27.9%

21.3%

33.0%

7.5% 6.6% 8.3%

12.0% 14.1%

0%

5%

10%

15%

20%

25%

30%

35%

—

5%

10%

15%

20%

25%

30%

35%

Facilities IndustrialDistributionLogistics BPO

LTM EBITD

A M

arginLTM

Gro

ss M

argi

n

1.9%

1.1%

6.0% 5.7%

6.9%

—

2%

4%

6%

8%


1-Ye

ar R

even

ue G

row

th

11.4x

8.9x

11.8x

10.0x 10.8x

0.0

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

14.0x

16.0x


TEV

/ EBI

TDA

11.4x

8.9x

11.8x

10.0x 10.8x

0.0

2.0x

4.0x

6.0x

8.0x

10.0x

12.0x

14.0x

16.0x


TEV

/ EBI

TDA

TM Capital’s Business Services Contacts

TM Capital Corp. is a partner-owned investment banking firm based in New York, Boston and Atlanta which has completed over 250 transactions with a combined value in excess of $17 billion. Since 1989, we have advised clients navigating a full range of critical transactions including complex mergers, acquisitions, debt and equity financings, minority and majority recapitalizations, restructurings, and advisory services including takeover defense, fairness and solvency opinions and valuations. We have built deep industry expertise in key sectors, and our team regularly publishes research highlighting current and emerging trends in targeted industries and markets. TM Capital is a partner firm of M&A International Inc., the world’s leading alliance of mid-market investment banks with over 650 M&A professionals in 42 countries. Our MAI team has closed over 1,400 transactions totaling more than $75 billion in value over the past five years. For more information, visit www.tmcapital.com.

James S. Grien Managing Director

[email protected] 404-995-6235

Jarrad S. Zalkin Managing Director


Andrew O. Redmond Vice President


Facilities Services Transactions Industrial Services Transactions

Distribution Transactions Logistics Transactions

BPO Services TransactionsTarget Acquiror Target Description

Choice Drivers, Inc. TransForce, Inc. Connects businesses withexperienced drivers, as well ashelps drivers to find trucking jobs

Argus Pacific, Inc. Terracon Consultants, Inc.

Provides workplace health andsafety consulting and trainingservices

Dun & Bradstreet Credibility Corp.

Dun & Bradstreet, Inc. Provides credit building andcredibility solutions for businesses

4. Transactions (for PDF)

Target Acquiror Target Description

Carolina Gas Transmission Corporation

Dominion Midstream Partners, LP

Delivers natural gas to wholesaledistributors, industrial facilities,and utility companies in SouthCarolina and surrounding regions

GPA, Specialty Substrate Solutions Inc.

Fedrigoni S.p.A. Distributes printable substratesand custom surface treatmentservices

Connect-Air International, Inc.

EIS, Inc. Distributes low voltage wires andcables for HVAC, security, and firealarm system applications



Team Termite & Pest Control Inc.

The Terminix International Company Limited Partnership

Provides termite and pest controlservices

Metier Holding AS RPS Group plc Offers project managementconsulting services for theconstruction industry

Cornerstone Environmental Group, LLC

Tetra Tech Inc. Operates as an engineering andenvironmental consulting, andfield services company



TMP Consulting Engineers, Inc.

Bala Consulting Engineers, Inc.

Provides mechanical, electrical,plumbing, and fire protectionconsulting and engineeringservices

LRR Energy, L.P. Vanguard Natural Resources, LLC

Operates, exploits, and developsproducing oil and natural gasproperties in North America

Sumac Fabrication Co., Ltd.

Thermon Canada Inc. Offers equipment rental, industrialelectrical fabrication, and turnkeysolutions



Command Transportation, LLC

Echo Global Logistics, Inc.

Provides freight brokerageservices for Fortune 500 and otherclients

MR Coal Marketing & Trading, LLC

Noble Americas Corporation

Provides logistic services to powerand natural gas companies

Baltic Trading Limited

Genco Shipping & Trading Ltd.

Engages in the shipping businessin the drybulk industry spotmarket worldwide


EBITDA Multiples Over Time

11.4x

8.9x

11.8x

10.0x

10.8x

5.0x6.0x7.0x8.0x9.0x

10.0x11.0x12.0x13.0x14.0x

Q1 '12 Q2 '12 Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13 Q4 '13 Q1 '14 Q2 '14 Q3 '14 Q4 '14 Q1 '15 Apr '15

TEV

/ EBI

TDA

Facilities

Industrial

Distribution

Logistics

BPO

www.tmcapital.com

New York641 Lexington Avenue30th FloorNew York, NY 10022Tel: 212.809.1360

Boston201 Washington Street32nd FloorBoston, MA 02108Tel: 617.259.2200

Atlanta15 Piedmont Center NE Suite 1010Atlanta, GA 30305 Tel: 404.995.6230

Documents

Business Services Monthly May 2015 - TM Capital Corp. · International, Inc. EIS, Inc. Distributes low voltage wires and ... Sumac Fabrication Co., Ltd. Thermon Canada Inc. Offers