| IPO Company Profile |
| Current Quote | News | SEC Filings | Peer IPO Companies |
| Standard Automotive Corporation |
| 321 Valley Road, Hillsborough Township, NJ 08876 * (908) 369-5544 |
| The company is a specialized manufacturer of new trailer chassis which are sold to leasing companies, large steamship lines, railroads and trucking companies to transport overland 20', 40', 45' and 48' shipping containers. |
| Manager | Tier | Phone |
| Westport Resources Investment Services, Inc. | Lead Manager | (800) 935-0222 |
| AMEX: | AJX | High-Tech: | SIC 3715 | |
| Type of Shares: | Common Shares | Filing Date: | 8/12/97 | |
| U.S. Shares: | 1,300,000 | Offer Date: | 1/22/98 | |
| Non-U.S. Shares: | 0 | Filing Range: | $11.50 - $12.50 | |
| Primary Shares: | 1,300,000 | Offer Price: | $10.00 | |
| Secondary Shares: | 0 | Gross Spread: | $0.80 | |
| Offering Amount: | $15,600,000 | Selling: | $0.40 | |
| Expenses: | $660,000 | Reallowance: | $0.10 | |
| Post-IPO Shares: | 3,400,000 | |||
| Employees: | 146 |
| Issuer's Law Firm: | Phillips, Nizer, Benjamin, Krim & Ballon |
| Bank's Law Firm: | Orrick, Herrington & Sutcliffe |
| Auditor: | BDO Seidman |
Dollar amounts in U.S. millions except for per share data | |||||
| Full Year Audited Income | Latest Unaudited Income | Prior Unaudited Income | Balance Sheet | ||
| 3/31/97 | 3/31/97 | ||||
| Revenue: | $22.36 | Assets: | $9.33 | ||
| Net Income: | $1.73 | Curr Assets: | |||
| EPS: | $0.84 | Liabilities: | $2.11 | ||
| Prior EPS: | $1.62 | Curr Liab: | |||
| Cash Flow/Oper: | Equity: | $7.22 | |||
| Cash Flow/Fin: | Cash: | ||||
| Cash Flow/Inv: | Working Cap: | $5.94 | |||
| Competition |
| The chassis and container manufacturing industries are highly competitive and barriers to entry are relatively low. The Company directly competes with Strick Corporation and Hyundai Mexico, two other manufacturers of new trailer chassis, each of which has greater financial resources and higher sales than the Company. Furthermore, the Company's products compete with alternative forms of shipping, such as truck trailers, that have experienced recent rapid growth in usage. There can be no assurance that the Company will be able to continue to compete effectively with existing or potential competitors or alternative forms of shipping. |
| Business Plan |
| The Company's business strategy is to grow through the acquisition of companies that manufacture complementary products, by diversifying its product lines and establishing manufacturing facilities in the SouthWestern United States or Mexico to service potential customers on the West Coast, who are currently constrained by freight cost considerations from purchasing from the Company's East Coast facility. At this time the Company has not entered into any discussions with acquisition candidates, nor has it established a timetable for the establishment of a new manufacturing facility. |
| Use of Proceeds |
| The proceeds from the proposed offering will be used to pay the Purchase Price of the Acquisition. To repay all indebtedness due under the Bridge Notes, to pay advisory fees to certain affiliated parties, and to use any balance for working capital and for general corporate purposes. |
| Name of Shareholder | % Owned Before | % Owned After |
| Steven Merker | 34.50% | 21.30% |
| William Merker | 20.00% | 12.60% |
| Andrew Levy | 12.20% | 7.50% |
| Karl Massaro | 8.10% | 5.00% |
| Officer Name | Title | Age |
| Steven Merker | Chairman of the Board, Treasurer, and Chief Financial Officer | 40 |
| Karl Massaro | President and Director | 44 |
| William Merker | Vice President, Secretary and Director | 37 |
| Additional Underwriter Compensation |
| Warrant to purchase 130,000 shares/units at a nominal price. |