Guntersville Fabrication & Sprinkler Co. - Real Estate Disposition

THE TRANSACTION:

Founders Investment Banking, LLC acted as the exclusive advisor to the Bice family on the disposition of two net leased industrial properties that are 100% fully occupied by Ferguson Fire & Fabrication, Inc, a division and wholly-owned subsidiary of Wolseley, plc. This transaction was a follow-on to the family’s sale of their operating company (Guntersville Fabrication & Sprinkler Co. Inc.), on which Founders was also the exclusive advisor.

THE COMPANY:

Ferguson Fire and Fabrication (FFF) supplies high-quality fire-protection products across the United States. The majority of the Company’s products are marketed predominately to fire-sprinkler contractors and used in the construction of commercial and industrial projects. FFF has a geographic presence in 25 U.S. states and operates from 65 fabrication and distribution facilities.

THE SOLUTION:

Following the sale of their manufacturing and distribution company to Ferguson Fire and Fabrication, the Bice family made the disposition of the associated real estate assets the final piece of their liquidity and diversification strategy. During the negotiation process for the sale of the operating company, Founders advised on a lease structure that would maximize the market value of the real estate assets once occupied by FFF. Once the transition was complete and operations were stabilized, the Bice family once again engaged Founders as their exclusive advisor to help monetize the value of their real estate, which had been optimized with the negotiated net lease structure and creditworthiness of FFF as a tenant. The transaction provided meaningful proceeds to the owners and allowed for further wealth diversification.