Navigant Capital Advisors, LLC Releases First Quarter 2008 in Review

CHICAGO, ILLINOIS (April 2008) - First quarter activity highlighted below reflects continued growth in demand for Navigant Capital Advisors' ("NCA") services.

Recently, NCA and two of its senior leaders were recognized at the annual Distressed Investing Conference, co-sponsored by The Deal and the Turnaround Management Association. NCA was ranked #3 among Top Investment Banks (based upon the number of active bankruptcy assignments). In addition, NCA professionals were named as the top two investment bankers in the distressed market sector.

Our Quarterly Dialogues for the First Quarter 2008 have been published. We publish these industry reports that analyze relevant trends and news for 11 sectors: Consumer Products, Energy, Food, Healthcare, Human Capital, Industrial, Information Technology, Insurance, Logistics, Restaurant and Specialty Retailing. Beginning with this quarter’s report, in response to clients’ requests, we have added a “Distressed Market Indicators” section.

2008 is proving to be another record year for NCA. Below we have selected a few highlights to demonstrate our strong first quarter performance.

INVESTMENT BANKING HIGHLIGHTS

In March, Amedisys, Inc. (NASDAQ:AMED), one of America’s leading home nursing companies, acquired TLC Health Care Services, Inc., the largest privately-held home healthcare provider in the United States, for $395 million. NCA served as exclusive Financial Advisor to TLC in this transaction.

In February, Pasadena Tank Corporation (“PTC”) entered into a definitive agreement to merge with HMT Inc. a portfolio company of Berkshire Partners. Based in Houston, Texas, PTC is a closely-held, family-owned business and a leading provider of engineering, fabrication and construction, and repair and maintenance services for aboveground storage tanks (AST). NCA acted as exclusive Financial Advisor to PTC, and successfully structured, negotiated and closed this transaction. Digitel Corporation (“Digitel”) completed the sale of its NeoNova Network Services, Inc. division (“NeoNova”) to Azure Capital Partners and Bridgescale Partners in February. Based in Raleigh, NC, NeoNova is the leading provider of wholesale internet services to U.S. rural telephone and cable service providers. Serving as Digitel’s exclusive Financial Advisor, our professionals explored various capital and strategic alternatives including the sale of its rapidly growing NeoNova division.

During January, NCA served as exclusive Financial Advisor to Coalition America, Inc. in the successful closing of its acquisition of National Preferred Provider Network (NPPN) from MedAvant Healthcare Solutions (NASDAQ: PILL) for approximately $23.5 million in cash. Coalition America is a market leader providing comprehensive solutions for managing healthcare costs. Also in January, NCA was engaged as exclusive Financial Advisor to Tubular Products Company which was acquired by Samuel Manu-Tech Inc., a publicly-traded industrial products company (TSX: SMT). The acquisition was structured as an all-stock transaction for $33 million cash plus an additional one-year provisional performance payment. Based in Birmingham, Alabama, Tubular is a closely-held, family-owned business and a recognized leader in the design, engineering, manufacturing and supply of value-added laser cut carbon steel tubing, fabricated tubular components, and welded sub-assemblies.

RESTRUCTURING HIGHLIGHTS

NCA's Restructuring professionals are off to a very strong start in 2008.

NCA added two additional Hedge Funds to our active client group that, combined with our existing clients, have over $45 billion in assets under management. Given the turbulence in the credit markets and the associated liquidity contraction, our hedge fund and financial institution clients have sought NCA's support in various matters including:

  • establishing equitable allocation methodologies of indivisible and illiquid assets in association with contemplated fund restructurings;
  • asset disposition planning and execution oversight to achieve the proper balance of optimizing and accelerating recoveries;
  • establishing safeguards for investors and oversight in the orderly wind-down of fund assets including operations, communications, valuation and reporting support; and
  • assuring counterparty risk and assisting the fund managers in effectively negotiating extension terms with these counterparties.

Our engagement team also served as financial advisor to Wilton Partners Tollway, LLC, the operator of eight large "oasis" service areas along the Illinois Tollway, in connection with the successful restructuring of its senior secured credit facility with iStar Financial.

In the healthcare market, NCA has been engaged to provide both capital and operating restructuring services to the leading provider of dental services to children eligible for dental care benefits under Medicaid. The Company currently operates in excess of 70 primarily urban dental clinics.

NCA has been retained as financial advisor to the Debtor in the Chapter 11 bankruptcy of Propex, Inc. Propex is the premier global supplier of polypropylene fabrics and fibers for the geosynthetic, concrete, furnishings and industrial markets. Finally, NCA is acting as financial advisor to the Unsecured Creditors' Committee of Heartland Automotive Services, Inc., the largest franchisee of Jiffy Lube service centers (435 stores), which filed for Chapter 11 bankruptcy in January.