October 4, 2016

Capstone Financial Group Announces Sale of Morris 4×4

Capstone Financial Group, an investment banking firm specializing in the auto aftermarket, has announced the sale of Morris 4×4 Center (“Morris”) of Pompano Beach, FL, one of North America’s leading Internet retailers of Jeep-only parts and accessories. Morris pioneered the consumer-direct Jeep Internet business with a significant head start over brick and mortar retailers and now sells more than 46,000 SKUs from hundreds of manufacturers covering every relevant product category for Jeeps. The company’s acquirer was a platform company backed by a New York-based private equity firm with significant investment experience in the auto aftermarket. “I chose Capstone because of its industry knowledge and ability to close a synergistic deal with the most appropriate buyer,” said Glenn Morris, the company’s founder and CEO. “This was a complicated transaction for a number of reasons, but Capstone structured a discreet deal at a very attractive price without having to run a complex, time-consuming process.” Capstone provided key guidance across several aspects of the deal. It epitomized the vertical food-chain type of acquisition that Capstone began predicting in 2007 as the Internet became more prevalent and three-step distributors became more dominant and aggressive. “This is the auto aftermarket world we live in now,” […]
August 10, 2016

Capstone Financial Group Opens New Silicon Valley Office

Aftermarket M&A Firm Leverages Opportunities in Burgeoning High Tech Auto Industry Capstone Financial Group, Inc., an investment banking firm specializing in the auto aftermarket, is pleased to announce the opening of its new Silicon Valley office at 6203 San Ignacio Avenue, Suite 110, in San Jose. The office will serve an automotive industry that is rapidly expanding in the area, spurred by some of the Valley’s most iconic companies. “Silicon Valley has become a hotbed of automotive development with Apple, Tesla, Google and others all entering the fray,” said Dan Smith, president of Capstone. “We anticipate that very soon much of the automotive industry will be centered here, so we wanted to be the first investment banking firm to establish this kind of local automotive presence.” Since 1999, about 75 percent of Capstone’s 40 M&A transactions have been in California. The San Jose office provides clients and prospective clients with the insight and connections needed for this new wave of auto aftermarket transactions. With its headquarters in South Carolina, Capstone Financial Group now has a presence on both the East Coast and the West Coast. Drawing on his experience and knowledge, Smith sees a game-changing trend in the auto aftermarket. […]
August 1, 2016

Capstone Financial Group Announces First Deal in Silicon Valley

Assists Autologue in DMS purchase from eBay San Jose, Calif., July 7, 2016 — Capstone Financial Group, an investment banking firm specializing in the auto aftermarket, has announced its first deal in Silicon Valley, facilitating an acquisition for Autologue Computer Systems, Inc. The deal, in which Autologue purchased three distribution management systems from eBay, Inc., makes Autologue the second largest player in its industry. The transaction also marks Capstone’s first foray into software, a significant step in a segment of the aftermarket that is expected to grow exponentially with the advent of driverless cars. Capstone provided key guidance across several aspects of the Autologue/eBay deal. “This was a complicated transaction, for a number of reasons,” said Jim Franco, Autologue’s president and CEO. “Capstone not only helped us structure a deal that allowed for an attractive interest rate, but helped us determine the boundaries for proceeding on a reasonable basis for getting the deal closed.” Autologue closed the deal to purchase the three distribution management systems — PartsWatch, AutoEase, and Maccel — from eBay early this month. Capstone’s presence in Silicon Valley sends a strong signal about how important the Valley will be to next-generation auto technology. Revenues from the sale […]