SOURCE: McGladrey Capital Markets LLC

November 14, 2008 10:00 ET

McGladrey Capital Markets Leads Negotiations as Mitchell Imports Acquires Aldik

COSTA MESA, CA--(Marketwire - November 14, 2008) - The Mitchell Import Company, d/b/a TJ Collection, has acquired Aldik Inc., a leader in distinctive, high-quality merchandise servicing the floral and home decor industries for more than four decades. Transaction terms were not disclosed.

McGladrey Capital Markets LLC acted as the lead financial advisor to Aldik's former owner, Encore Consumer Capital, a San Francisco-based private equity firm. Latham & Watkins LLP acted as the legal advisor to Encore, and Bryan Cave LLP provided legal counsel to Mitchell Imports.

"The sale of Aldik enabled our client, Encore Consumer Capital, to selectively maximize its portfolio holdings and reposition capital for future investment opportunities," said Charlene Davidson, Senior Managing Director of McGladrey Capital Markets. "Furthermore, Aldik will benefit from an experienced and strategic partner in Mitchell Imports, enabling additional growth and continued market leadership opportunities. This divestiture was an optimal transaction for all parties."

About McGladrey Capital Markets

McGladrey Capital Markets LLC (www.mcgladreycm.com) is a global provider of investment banking services to private and public companies with annual revenues of up to $1 billion. The firm's services include mergers, acquisitions, divestitures, recapitalizations, capital raising, fairness opinions and restructurings. McGladrey Capital Markets, which offers in-depth expertise in 13 distinct industry sectors, brings together companies, capital and creativity on a national and international scale to help clients achieve their personal and strategic objectives.

McGladrey Capital Markets is affiliated with RSM McGladrey Inc., a professional services firm providing accounting, tax and business consulting. Both firms are indirect subsidiaries of H&R Block Inc. (NYSE: HRB), the world's preeminent tax services provider. McGladrey Capital Markets is also a member of RSM International, a worldwide network of professional services firms.

McGladrey Capital Markets' international headquarters are located in Costa Mesa, Calif. It also has offices in Chicago, Boston, Dallas, New York and London. The firm is a member of FINRA and SIPC.

About Aldik

Aldik (www.aldik.com) is one of the leading designers and marketers of floral-based home decor products, including upscale silk flowers, stems, wreaths, topiaries, branches and foliage, along with a complementary line of coordinated containers and accessory pieces. The company has received numerous awards for design excellence and is the market share leader within its category. Aldik products are popular among industry professionals and have graced the covers of many industry publications. Aldik is also credited with the creation of the world famous Swiss Family Robinson Tree House in Disneyland.

The company has operated in Asia for over 40 years and maintains long-term relationships with many leading manufacturers. It sources almost all of its products from China and maintains an office in Hong Kong. The company has a diverse customer base ranging from large national retailers (approximately 40 percent of sales) such as Michaels, Bloomingdales and Frontgate, to smaller chains and independent retailers (approximately 60 percent of sales). The company's experienced design team works directly with larger customers to create unique product offerings tailored to specific customer requirements and differentiates itself by filling the role of a category manager. It reaches wholesalers and smaller retailers through its 33 sales representatives, which are supported by seven permanent showrooms in the United States and Asia.

Founded in 1951 and employing 150 people, Aldik is headquartered in Moorpark, Calif. and maintains showrooms in Atlanta, Chicago, Dallas, Los Angeles, New York, and San Francisco. The showrooms are open for gift and interior design shows periodically throughout the year. Aldik's designers have a keen eye for coming trends and popular contemporary decoration but have also included many classic and timeless pieces in Aldik's inventory. Aldik pushes the limits on permanent flowers with natural looking, botanically correct stems with realistic colors and textures and complementary fragrances.

About Encore Consumer Capital

Encore Consumer Capital (www.encoreconsumercapital.com) is a private equity investment firm primarily focused on North American investments in consumer products industries including branded Health & Beauty, Food & Beverage, Pet and Leisure product markets. ECC manages a fund of committed equity capital in excess of $160 million.

ECC operates in partnership with Encore Associates Inc (www.encoreassociates.com), a leading strategic advisory firm comprised of veteran operating executives from the national food and consumer products industry with cumulative experience in excess of 200 years. This combination of investment and operating expertise makes ECC a unique, value-added partner for consumer products companies seeking equity investment.

About The Mitchell Import Company

The Mitchell Import Company (www.tjcollection.biz), privately owned and headquartered in Overland Park, Kan., imports and distributes a wide variety of home decor and gift items. Its product lines include decorative figurines, ornaments, frames, wall hangings, floral products and a comprehensive collection of holiday-themed products. The company has showroom locations in Dallas, Atlanta, Chicago and Kansas City and leverages relationships with 15 independent marketing groups.

Contact Information

  • CONTACT:
    McGladrey Capital Markets LLC
    Todd Cooley
    Director of Communications
    714.327.8865
    Email Contact