Company Overview
Beck Holding Corporation, the parent company of Beck Packaging Corporation, headquartered in Allentown, PA, was founded and began operating in 1970 by Irwin “Irv” Beck. Beck Packaging, a stocking and servicing distributor, has been serving the needs of businesses throughout the Lehigh Valley and surrounding areas of Pennsylvania, New Jersey and Delaware. In addition to representing some of the leading packaging materials and equipment manufacturers in the industry, the company also sources janitorial and safety supplies.
Situation
Management, the Board of Directors and the ESOP Trustee all agreed that for the company to continue to grow and expand, a strategic partner was needed that could provide depth of products and experience, breadth of ancillary services that could be offered to its clients and a management team that could continue the company after departure of the company’s current management team. As an employee-owned company, Beck Packaging was also seeking an attractive liquidity event for its employee owners.
Solution
SES professionals led two engagements the company had with affiliated SES businesses, Stevens & Lee and Griffin Financial Group. Stevens & Lee was engaged to handle the legal work for the transaction and Griffin Financial Group was engaged for the purpose of finding and negotiating a transaction that would accomplish all of those objectives. Pursuant to these engagements, and as a result of the collaborative efforts of SES professionals, Lindenmeyr Munroe closed on the stock purchase of Beck Holding Corporation effective April 1, 2019.
“SES and its affiliated businesses were of great assistance in enabling us to enter into a transaction that not only created a liquidity event for our employee owners, but was also a great strategic fit for our employees staying with the company and provides us the ability to excel moving forward. Using professionals from SES and its affiliated business provided our Board and management team comfort that we found the right buyer and negotiated a great deal. Lindenmeyr Munroe is a partner that can take Beck to the next level,” said Greg Stoudt, President of Beck Packaging.
For more information on this transaction, please contact Edward C. Renenger, COO of SES ESOP Strategies, at 610.478.2238 or Mark B. Russell, Senior Managing Director of Griffin Financial Group, at 610.478.2166.