SSG Capital Advisors acted as the investment banker to TPP Acquisition d/b/a The Picture People in the sale of substantially all of its assets to affiliates of Monroe Capital.

The sale was effectuated through a Chapter 11 Section 363 process in the U.S. Bankruptcy Court for the Northern District of Texas. The transaction closed in November 2016.

TPP is an operator of professional photographic portrait studios across the U.S. The company offers portrait studios located in malls as well as in select Buy Buy Baby, Walmart and Sears locations.

Historically, the company was primarily a mall-based operation and subject to high fixed costs, but only experienced consistent profitability during the peak holiday months associated with Easter, Thanksgiving and Christmas. In response to the high degree of seasonality, management developed and began transitioning to a more appropriate, variable cost operating model.

While the transition plan provided an avenue for sustained profitability and growth, TPP faced constrained liquidity due to several years of financial distress.

TPP determined that a sale of the company’s assets would be the best method of maximizing value for its creditors and parties in interest. The company filed for Chapter 11 protection in the Northern District of Texas in September 2016. SSG was retained as the exclusive investment banker for the purpose of marketing the business and soliciting offers on an expedited basis to provide a potential buyer with the immediate cash flow benefit of the company’s two most profitable months.

SSG conducted a comprehensive marketing process which resulted in a wide range of potential strategic and financial buyers. Monroe Capital’s stalking horse credit bid offer was ultimately the highest and best price for substantially all of the company’s assets.