New Owner will Continue Selling Farm Crest Milk Products
DENVER – Aug. 8, 2006 - W. G. Nielsen & Co., a Denver-based, independently owned investment banking firm, today announced that it has negotiated Royal Crest Dairy’s strategic divestiture of 17 Farm Crest Milk convenience stores. Pester Marketing Company, owner of Colorado’s 1stStop gas/convenience stores, acquired the Front Range stores under an operating agreement to continue stocking a full line of Farm Crest Milk products. Terms of the multi-million dollar deal were not disclosed
“Putting this deal together created a win-win opportunity for Royal Crest, Pester and all the customers who buy Farm Crest Milk products at these long-standing, neighborhood retail outlets,” said Taylor Kirkpatrick, banker, W.G. Nielsen.
W. G. Nielsen specializes in developing creative and mutually beneficial matches for company buyers and sellers. The firm helped Royal Crest retain retail distribution outlets for its product line while eliminating a non-core business of managing gas and convenience stores. This deal affords Pester, which recently moved its headquarters in Greenwood Village, Colo., an attractive entry into the Front Range convenience store market.
“W.G. Nielsen has been a tremendous partner, guiding us through a transaction that lets us be true to our core business of running a dairy,” said Paul R, Miller, president, Royal Crest Dairy. “The Nielsen team knows the local business marketplace, understood our unique desire to preserve our retail distribution vehicle and helped us design a deal that enables us to continue to grow and prosper in our home state.”
All acquired stores will maintain the Farm Crest Milk name. Pester will expand each store’s product line to include enhanced offerings, complementing the full line of Farm Crest Milk products.
“Farm Crest was an amazing asset for us to work with,” said Wayne G. Nielsen, president, W.G. Nielsen. “The brand has a unique niche among gas and convenience stores. It has loyal customers who often visit more than once a week and treat the store as a destination shopping experience because of its quality dairy products. We are proud that we could help both Royal Crest and Pester keep this tradition alive.”
About W.G. Nielsen & Co.
W.G. Nielsen & Co., the Rocky Mountain region’s largest independently owned investment banking firm, specializes in negotiating mergers and acquisitions for privately held businesses. W.G. Nielsen & Co. also provides its clients with creative finance solutions via structured and leveraged financing transactions. An NASD-licensed firm, W.G. Nielsen & Co. has a proven track record of maximizing its clients’ enterprise value, while remaining sensitive to preserving their unique culture and legacy. Since the firm’s inception in 1996, its seasoned professionals have completed transactions valued in excess of $4 billion. For more information, please visit www.wgnielsen.com.
About Royal Crest Dairy
Royal Crest Dairy provides Colorado families with the highest quality milk and freshest dairy products available with branches in Denver, Longmont and Colorado Springs. Royal Crest works with local diary farms using rigid testing to insure purity, quality, and flavor. Royal Crest has contracted with producers not to treat their cows with the bovine growth hormone rbGH. In addition, all milk is tested for antibiotics. If any antibiotics are detected the milk is rejected and not processed. The company is known for its home delivery service and environmentally friendly re-usable bottles. The company was founded in 1927 by the Thomas family. The Miller family purchased Royal Crest in 1964. Under the leadership of Paul R. Miller, Royal Crest has maintained the same commitment to high quality dairy products followed by Paul Silas Miller 90 years ago. .
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