Trucking Company Sold to Dallas-based Investor
DALLAS–(BUSINESS WIRE)–Allegiance Capital Corporation, a full-service investment banking firm servicing middle
market companies worldwide, announces the sale of Smokey Point Distributing, Inc., an Arlington, Wash.-based
specialty trucking and logistics company, to Dallas investor Don R. Daseke and two partners — Dan Wirkkala,
president and CEO of Smokey Point Distributing, Inc. and Main Street Capital of Houston, Texas.
Under the terms of the transaction, Smokey Point was acquired by the investors for
$34 million, with PNC Business Credit, the asset-based lending arm of PNC Bank,
National Association, providing the senior, first lien debt financing, and Main Street
Capital providing second lien debt and equity financing. Allegiance Capital, acting on
behalf of the seller, was the investment bank for the transaction.
As an established leader in a niche sector of the trucking and logistics industry,
Smokey Point specializes in handling difficult to transport truck load shipments, both
legal and oversize / overweight, as well as less-than-truckload consolidation, serving a diverse customer base in the
aerospace industry as well as all other commodity groups. A successful less-than-truckload carrier, Smokey Point
currently operates out of the company’s primary terminal just north of Seattle, and from a second location in Wichita,
Kansas. Following this transaction, Smokey Point will be positioned to expand operations by opening another
transportation terminal in Southern California in 2009, followed by two additional terminals in the eastern seaboard in
the future.
According to John Sloan, vice chairman, and Jason Hiebert, vice president of Allegiance Capital, the lead investment
bankers on the transaction, Allegiance Capital was able to attract several potential investors, despite a difficult credit
market. “The challenge with Smokey Point was a tight credit market, an economic downturn and an industry that is
out-of-favor for investors,” noted Hiebert.
Sloan added, “The completion of this transaction illustrates that middle market transactions are getting done despite
the difficult financial news being reported almost every day. We worked hard to overcome the combined effects of an
economic recession and a strained credit market.”
Daseke noted that although the trucking industry has been affected by the economic recession, Smokey Point has
carved out a niche for itself in the trucking and logistics space, serving a diversified customer base in the aerospace
industry in addition to moving difficult to handle shipments. Mr. Daseke stated, “I believe Smokey Point is primed for
continued growth under the capable leadership of Dan Wirkkala and his management team.”
