LOS ANGELES--(BUSINESS WIRE)--Classic Party Rentals, the nation’s leading event rental and services provider, today announced that funds managed by Apollo Global Management, LLC (NYSE: APO) (together with its consolidated subsidiaries, “Apollo”) submitted the winning offer to acquire substantially all of the business of Event Rentals, Inc. and its subsidiaries, d/b/a Classic Party Rentals (“Classic” or the “Company) at yesterday’s auction. The acquisition is subject to the execution of an asset purchase agreement and approval by the United States Bankruptcy Court for the District of Delaware.
“We are incredibly pleased with the outcome of this process and the acquisition offer by Apollo,” said Jeff Black, Classic Party Rental’s President and Chief Executive Officer. “Apollo is a powerful partner for Classic and has a strong understanding of our business and strategic vision. We appreciate the support that our lenders have provided through this process and for this transaction with Apollo. We believe this offer is the best outcome for Classic and all of our stakeholders.”
Plan to Maintain and Strengthen Industry Leading Services
Black continued, “We are confident that this transaction will position Classic to continue leading the industry in providing innovative and flawlessly executed event services through our national footprint. As we have proceeded through this sale transaction and filing process, we have already accelerated and increased our investment in our business and in refreshing our inventory to better serve our clients. We look forward to a financially stronger future and to further expanding our ability to deliver even more creative and elaborate events with Apollo’s support.”
“We are very excited to support the recapitalization of Classic Party Rentals,” said Jason Scheir of Apollo Global Management. “As the largest provider of event rental products in the United States, Classic has an outstanding reputation and leadership position in the markets it serves, and we believe that with a streamlined balance sheet the Company is poised to capitalize on a number of attractive growth initiatives.”
As previously announced, a newly established entity owned by the Company’s current lenders had been named on February 14, 2014 as the stalking horse bidder in Classic’s court-supervised auction process under Section 363 of the Bankruptcy Code. Classic completed a marketing process to seek the highest and best offer to acquire its business in accordance with the bid procedures approved by the court. Classic will now move forward to have the sale to funds managed by Apollo Global Management approved by the court on April 29, 2014, and completed by the end of May. Upon completion of the sale transaction, Classic will be financially and operationally stronger – with more extensive product and service capabilities and outstanding customer service.
Classic Party Rental's vendors and clients can access additional information about the Company's sale transaction and Chapter 11 filing on its dedicated website, www.ClassicTransaction.com. The Company also has established a vendor and customer support center, which may be reached at 877-759-8814 (toll-free), 424-236-7261 (outside of the U.S. or Canada).
Classic Party Rentals is advised in this transaction by Jefferies LLC, FTI Consulting, and White & Case LLP.
About Classic Party Rentals
Classic Party Rentals is the nation’s largest full-service event rental company with over 30 locations nationwide. The company services most major markets across the U.S. with its china, glassware, flatware, specialty linen, lounge furniture, lighting, heating, flooring and kitchen and catering equipment. Classic is also the leading nationwide provider of tents and clearspan structures under the brand, Classic Tents as well as providing multi-location services within the brand Classic Event Solutions. In addition to providing event rentals, Classic offers sales support and product and event management for more than 150,000 events per year including major sporting events, brand promotion, corporate events, celebrity weddings, charity events and private social events. For more information, please visit www.ClassicPartyRentals.com.
About Apollo Global Management
Apollo (NYSE: APO) is a leading global alternative investment manager with offices in New York, Los Angeles, Houston, Toronto, London, Frankfurt, Luxembourg, Singapore, Mumbai and Hong Kong. Apollo had assets under management of approximately $161 billion as of December 31, 2013, in private equity, credit and real estate funds invested across a core group of nine industries where Apollo has considerable knowledge and resources. For more information about Apollo, please visit www.agm.com.