Morgan Corporation

Morgantown, Pennsylvania

has been acquired by

J.B. Poindexter & Co.

Houston, Texas

Capital Alliance Corporation initiated
this transaction and assisted in its closing.

Morgan Corporation

Morgan Corporation is the largest manufacturer of truck bodies in the United States with over $90 million in annual revenues. With the aid of Capital Alliance, Morgan sold its business to J.B. Poindexter & Co., a private holding company with nationwide manufacturing and service operations.

Morgan Corp.’s manufacturing operations consisted of five nationwide plants, nine hundred employees, and annual production exceeding fifteen thousand truck bodies, mostly refrigerated and dry freight for delivery trucks. When the company’s founder and chairman approached retirement age, seeking financial liquidity and a means to phase out of company operations, he solicited the aid of Capital Alliance.

Within four months, Capital Alliance generated seven offers and five visits from qualified acquirers, propelled by a thorough understanding of the selling company’s operations, an extensive network of contacts, and a disciplined process. Each of the buyer candidates operated businesses complementary to that of Morgan Corporation, and proved financially capable of completing an acquisition. During the negotiations, Capital Alliance confronted significant obstacles on behalf of the client, including price, representations and warranties, indemnifications by the seller of certain liabilities, inventory audits and supply chain arrangements. Despite a challenging negotiation, Capital Alliance obtained consideration and terms favorable to the client.

At closing, the shareholders received all-cash consideration for the company, with a less-than-market 5% escrow.