SencorpWhite Secures Stalking Horse Bidder MSI Automate in Chapter 11 Sale Process

HYANNIS, Mass., Feb. 26, 2025 -- SencorpWhite Inc., ("SencorpWhite" or the "Company") announced today that the Northern District Bankruptcy Court of California (case #24-51721) has approved MSI Automate ("MSI"), a portfolio company of Grays Peak Capital, to serve as stalking horse bidder for the acquisition of the Company's operating businesses under a chapter 11 plan.

Under the terms of the approved purchase agreement (details of which can be found on the docket here), total consideration to be paid by MSI is approximately $40 million. This includes cash consideration of $13.5 million and the assumption of all customer-related and lease liabilities, as well as the assumption of certain prepetition trade accounts payable.

MSI's stalking horse bid provides a floor for competing bids. The qualified bid deadline is currently scheduled for April 21^st, with an auction to follow on or around April 30^th subject to the Company receiving higher and better offers. The sale is expected to close shortly thereafter.

Parties interested in evaluating the transaction and submitting Qualified Bids should contact the Company's investment banker, Gordian Group LLC, at the contact information provided below. Parties will be provided an NDA and subsequent access to a data room and other confidential information.

Statement from Corey Calla, Chief Executive Officer of SencorpWhite:

"The decision to designate a stalking horse bidder ensures the long-term viability of SencorpWhite and gives confidence to our employees, customers and vendor partners about the Company and its future prospects. The stalking horse bidder positions SencorpWhite's business units and employees, to continue providing the level of service to our customers that SencorpWhite is known for.

I'd specifically like to thank SencorpWhite's employees and leadership team for their continued hard work and support during this time of uncertainty. Their commitment to SencorpWhite is truly impressive.

I would also like to thank our professional team of attorneys, investment bankers and financial advisors for their hard work and expertise guiding the Company through this process."

Allen Overy Shearman Sterling LLP served as legal counsel, Gordian Group, LLC served as investment banker, and Getzler Henrich and Associates LLC served as financial advisor to SencorpWhite. Rupp Pfalzgraf served as legal counsel to MSI Automate.

Additional information regarding the Company's Chapter 11 process is available at SWC Industries LLC, et al.

Gordian Group Contact Information:

About SencorpWhite:

SencorpWhite is a manufacturer of vertical storage and heat-sealing equipment and provider of software solutions for the warehousing and distribution sectors, all aimed at creating operating efficiencies and reducing costs. The Company offers customized solutions through in-house engineering, design and manufacturing capabilities and industry-leading aftermarket service, with field service engineers located throughout the United States.

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