Houlihan Lokey Advises 19th Capital Group

Houlihan Lokey is pleased to announce that the assets of 19th Capital Group, including trucks, leases, and associated fleet services, have been acquired by Hilco Global, through its operating business H19 Capital LLC. The transaction closed on May 1, 2020.

19th Capital Group, a wholly owned subsidiary of Element Fleet Management Corp (TSX:EFN) provides asset financing and fleet management solutions for operators of Class 8 fleets across the North American trucking industry. Its strategic network of partners includes financial institutions, OEMs, and other capital providers. The company owns and manages Quality Co., a leading truck leasing and sales company, which has locations in the Indianapolis and Dallas markets.

Headquartered in metropolitan Chicago, Hilco Global is a leading international financial services company that has completed billions of dollars of transactions around the world. Through 600 professionals operating on five continents, Hilco Global helps companies and their professional advisors understand the value of assets and then maximize that value through asset monetization solutions, and enhance value through advisory and consulting solutions. Hilco Global serves retailers, wholesalers, distributors, and manufacturers directly and through their lenders, investors, and advisors, which can include private equity firms, hedge funds, investment banks, law firms, turnaround professionals, accounting professionals, bankruptcy trustees, and receivers.

In October 2019, Element Fleet Management Corp (Element) announced that it was pursuing strategic alternatives with regards to 19th Capital Group, and retained Houlihan Lokey to assist in evaluating strategic alternatives, including a potential sale of the business. Houlihan Lokey assisted in marketing, structuring, and negotiating the transaction with Hilco Global, and was able to successfully navigate a challenging market environment amid COVID-19 and significant trucking market headwinds to achieve a desirable outcome for all parties involved. This transaction highlights Houlihan Lokey's continued position as a leading advisor within the specialty finance and transportation and logistics sectors.