Munger, Tolles & Olson advised Envoy Solutions, a diversified distribution company, in three recent acquisitions designed to deepen its footprint along the U.S. East Coast.
In the first transaction, which closed in September 2021, Envoy Solutions acquired Upper Marlboro, Maryland-based Daycon Products Co. Daycon, a distributor and market leader in facility supplies, training services, and sustainable solutions. Envoy Solutions purchased Penn Jersey Paper Co., an independent specialized distribution company in Philadelphia, Pennsylvania in the second acquisition, which closed in November 2021. In the third acquisition, Envoy Solutions acquired Next-Gen Supply Group, a large janitorial supply distributor based in Mansfield, Massachusetts. The third transaction closed in December 2021.
Financial terms of the deals were not disclosed.
For Fomento Economico Mexicano, S.A. de CV (FEMSA), a Mexican multinational beverage and retail company and Envoy Solutions’ parent company, the three acquisitions fit well with its distribution footprint along the East Coast and represent an important step in its strategy to build a leading national distribution platform in the United States.
The Munger Tolles corporate team advising on the Penn Jersey Paper deal included Kelly Kriebs, Natalie Karl and Joe Moses. Tyler Hilton and Nate Sussman provided corporate advice on the Daycon and Next-Gen acquisitions. David Goldman advised on the tax aspects of the Daycon transaction, while Matt Schonholz provided tax advice on the Penn Jersey and Next-Gen acquisitions.