Sterling Packaging, a leading manufacturer of folding cartons with a home base in Selkirk, Manitoba and expansion into Monroeville, Alabama, received a growth equity investment from Druid Capital Partners with guidance from Madison Street Capital. The international investment firm acted as the exclusive financial advisor to its client, according to CEO Charles Botchway. In a cable channel interview with Terry Bradshaw, Botchway defined the nature of the financial services that his company provides as essential for clients who expect the highest levels of expertise and professionalism.
Jay Rodgers, Senior Managing Director of Madison Street, led the transaction, crediting Sterling Packaging’s founders for outstanding work. Jim and Debbie Hickson and their team have done an “excellent job,” he stated, of building “a superior product offering” from a scale business. He anticipates that the company’s “broad customer base” can look forward to benefiting from the “expansion solutions” that the financial backing from Druid Capital Partners provides. Rodgers expressed his pleasure on behalf of Madison Street Capital for having helped “bring these parties together.”
Sharing Roles in the Transaction
As Druid Capital’s Managing Partner, Martin Holt welcomed the contributions of all parties. He praised the Hicksons for their achievements as “hard-working entrepreneurs” and welcomed them to a role as a partner. Holt noted the “strong value system” that they instill in their company and the evidence of it in the leadership positions that their children Kelly and Colin hold. As he looks to a future of working together, Holt expressed his company’s appreciation for Madison Street’s assistance with the transaction and for bringing Druid and Sterling together.
Druid Capital Partners is a boutique investment management group that invests in private companies in the southeastern states, especially those in manufacturing and distribution as well as industrial services. Located in Northport, Alabama, Druid Capital specializes in working with established companies that seek majority acquisitions and recapitalizations as one segment of its market niche. Assisting managers of progressive companies and their entrepreneur owners comprises another part of Druid Capital’s market where it provides a trustworthy and reliable source of equity capital.
Envisioning a Bright Future
The successful equity funding that Sterling Packaging obtained through the combined efforts of Madison Street Capital and Druid Capital Partners enables it to expand beyond its Canadian borders with a new facility in Alabama. Since 1989, it has specialized in designing and manufacturing folded paperboard cartons. The multi-purpose product appeals to a range of companies that package cosmetics, food and beverages, pharmaceuticals and hardware. Privately owned small businesses constitute a portion of its client base while its marketing efforts also reach Canadian as well as U.S.-based Fortune 500 companies. One of its areas of specialization features the paperboard carriers for bottles of all kinds in addition to packaging for beers that craft brewers produce.
The Sterling Packaging announcement brought excitement to Monroeville, the Alabama town whose residents anticipate the arrival of local jobs. Governor Kay Ivey, Rep. Bradley Byrne and Mayor Joseph Oglesby expressed appreciation to Sterling for choosing to build their state-of-the-art facility in the town. The investment of $6 million in a 60,000-square foot building may create as many as 55 new jobs.
Providing Vital Connections
The credit for bringing together the Hickson family and Druid Capital belongs to Madison Street and its status as an international investment banking firm. The company’s reputation for providing expert financial advisory services draws clients to it and the integrity that it represents. Expertise in mergers and acquisitions with publicly and privately held businesses puts Madison Street in an advisory role for clients seeking advantages in the global market. The company structures all aspects of its investment services to complement each new project, melding each client’s goals and objectives into a single unit. Its financial advisory guides clients through M&A to change their competitive position by growing or shrinking. With an emphasis on maintaining an awareness of emerging markets, Madison Street focuses on a role in driving global growth. The leadership of the international investment firm sets the standard for high professional performance.
As the founder as well as CEO of Madison Street Capital, LLC, Botchway manages the company’s strategy as well as its operations. He held similar responsibilities as co-CEO at Houlihan Smith & Company, Inc, a position that allowed him to execute an international expansion strategy on behalf of the firm. His history reflects his experience in corporate finance, mergers and acquisitions with a focus on emerging market transactions and private middle markets. As an entrepreneur who maintains a constant awareness of trends, Botchway notes the “scale of globalization” and the technology that supports it. No longer limited to market participation by large, global investment banks, globalization lets boutique banks like Madison Street use technology to compete in the worldwide banking arena. His thirst for learning, a trait that makes him look for “new approaches to solving problems,” has proven that the best ideas can come from unexpected places.
Madison Street occupies a unique position as one of the “fastest growing boutique investment banks” that serve the lower-middle and -middle-market businesses around the world. In every year since its founding by Botchway, the firm has received at least one notable award. For 2017, it won the International M&A Advisor Award M&A Deal of the Year and the Turnaround Award for Restructuring Deal of the Year. In the previous year, Madison Street won the International M&A Advisor Award for Cross Border Deal of the Year and the Emerging Leaders Award. In its first year, it won the M&A Advisor Turnaround Award Refinancing Deal of the Year.