Rodman & Renshaw Capital Group, Inc (NASDAQ: RODM), today announced that
it has acquired Miller Mathis & Co, LLC, the leading independent M&A
advisor to the global steel industry. Miller Mathis, which is based in
New York City, will retain its brand name and will continue to be led by
its co-founder, Robert Miller, as a subsidiary of Rodman & Renshaw
Capital Group. The total fixed consideration for the acquisition is
$7.30 million, with $4.35 million paid in cash at closing, and the
balance payable in one year. Rodman, at its election, may pay up to
$2.51 million of the deferred payment in stock. Up to an additional $2.1
million of purchase price is payable in cash or stock, or a combination
thereof, in two years upon the achievement of significant growth
targets. The acquisition is expected to be accretive to earnings in 2008.
Michael Lacovara, Chief Executive Officer, commented, “The
Miller Mathis acquisition brings to Rodman a firm with an excellent
brand name and deeply talented professionals, strong breadth of
experience, expertise, and global presence, especially in non-US markets
likely to see relatively strong growth in the coming years. The Miller
Mathis acquisition is in line with our long-term strategy to develop our
franchise by adding depth in selected non-healthcare verticals while
diversifying our revenue base, both in terms of sector and revenue type.
Adding Bob Miller, his team, and his strong global client base is an
important first step in our geographic and sector diversification. We
expect to take additional such steps, through further acquisitions, in
the coming months.”
Robert Miller commented, “We are excited to be
working with the Rodman & Renshaw team and look forward to benefiting
from their extensive capital raising experience. We believe our combined
expertise will help further our leading market positions to help drive
the next phase in our growth. To that end, I am pleased to report that
the Rodman-Miller Mathis team has already secured its first M&A mandate
representing a leading company in the steel sector.”
About Miller Mathis & Co, LLC
Miller Mathis, which was established in February 2004, offers advisory
services in mergers and acquisitions, strategic relationships,
restructurings and assistance in financings, across the globe, including
India, Japan, Mexico, Russia, Australia and the U.S. The firm’s
primary industry focus is in steel,
metals and mining, in which it is considered one of the world’s
leading M&A advisors, representing many of the major global steelmakers
and other strategic players. In addition, Miller Mathis also has
significant experience in capital-intensive industries such as energy,
aviation and telecom. Miller Mathis has advised on over $51 billion in
steel-related M&A transactions in the last two years, including the $1.4
billion sale of Villacero Group’s long
products plant and iron ore reserves in Mexico to Arcelor Mittal, and
advised Russia’s Severstal group in the
international contest for control of Arcelor, the largest steel
transaction ever.
About Rodman & Renshaw Capital Group, Inc.
Rodman & Renshaw Capital Group, Inc. is a holding company with a number
of direct and indirect subsidiaries, including Rodman & Renshaw, LLC.
Rodman & Renshaw, LLC is a full service investment bank dedicated to
providing investment banking services to companies that have significant
recurring capital needs due to their growth and development strategies,
along with research and sales and trading services to institutional
investor clients that focus on such companies. Rodman is a leading
investment banking firm to the biotechnology sector, a capital intensive
market segment, as well as a leader in the PIPE (private investment in
public equity) and RD (registered direct placements) transaction markets.
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control. There are or may be important factors that could cause our
actual results to materially differ from our historical results or from
any future results expressed or implied by such forward looking
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These factors include, but are not limited to, those discussed under the
section entitled “Risk Factors”
in our Annual Report on Form 10-K, filed March 14, 2008, which is
available at the Securities and Exchange Commission website at www.sec.gov.
The forward-looking statements in this press release are based upon
management's reasonable belief as of the date hereof. The Company
undertakes no obligation to revise or update publicly any
forward-looking statements for any reason.
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