Stacy’s, Inc. (“Stacy’s” or the “Company”) operates as an industry leading wholesale farm and nursery in South Carolina. Founded by Louis Stacy in 1969 as a small greenhouse, the Company has grown its wholesale operations to encompass almost 260 acres, which includes four potting buildings and several office buildings. Although the Company is most well-known for its high quality perennials, Stacy’s also produces and markets a wide variety of other plants. Stacy’s offers its products through big-box retail stores as well as a network of independent garden centers and chain stores throughout the U.S.
In addition to slow housing starts over several years and a lack of growth in the wholesale nursery market, Stacy’s principal markets on the east coast were hit with extremely adverse weather conditions during the Company’s peak season this year. As a result, Stacy’s filed for Chapter 11 Bankruptcy protection in the U.S. Bankruptcy Court for the District of South Carolina in June, 2013.
SSG was retained as Stacy’s investment banker to explore a sale of substantially all of the Company’s assets. SSG conducted a comprehensive marketing process which resulted in a wide range of potential buyers, including multiple strategic and financial parties interested in operating Stacy’s as a going concern business. Metrolina Greenhouses, a strategic buyer with a strong presence in high quality annuals based in North Carolina, was chosen as the stalking horse bidder prior to the Chapter 11 and ultimately presented the highest and best offer for substantially all of the assets of Stacy’s after a thorough remarketing process. SSG’s knowledge of the industry and market and experience in running efficient and timely Chapter 11 sales processes enabled key stakeholders to maximize the value of the assets while preserving the option to re-start the Company’s operations.