TRUE VALUE COMPANY ANNOUNCES SALE AGREEMENT WITH DO IT BEST 
 
 
   PR Newswire 
 
 
   CHICAGO, Oct. 14, 2024 
 
 
   Initiates Chapter 11 Proceedings to Complete Value-Maximizing 
Transaction 
 
 
   Continuing to Serve Independently Owned True Value Retail Stores and 
Other Customers as Usual 
 
 
   CHICAGO, Oct. 14, 2024 /PRNewswire/ -- True Value Company, L.L.C. ("True 
Value" or the "Company"), one of the world's leading hardlines 
wholesalers, today announced that it has entered into an agreement to 
sell substantially all of the Company's business operations to home 
improvement industry peer Do it Best Corp. 
 
 
 
   To complete the sale in the most efficient manner, True Value and 
certain of its affiliates initiated voluntary Chapter 11 proceedings in 
the U.S. Bankruptcy Court for the District of Delaware. True Value will 
continue its day-to-day operations serving 4,500 independently owned 
retailers that rely on True Value for the right products, trusted 
expertise, and its 75-year-old iconic brand. 
 
 
   "After a thorough evaluation of strategic alternatives, we determined 
that the sale of our business was the path forward to maximize value and 
best serve our retail partners and other stakeholders into the future," 
said Chris Kempa, True Value's Chief Executive Officer. "We believe that 
entering the process with an agreed offer from Do it Best, who has a 
similar decades-long history in the home improvement space and also 
operates with a focus on supporting members and helping them grow, is 
the most beneficial next step for True Value and our associates, 
customers, and vendor partners. We thank these valued stakeholders for 
their continued loyalty as we work to secure a stronger future for True 
Value." 
 
 
   True Value's sale process is the next step in a series of actions that 
the Company has taken in 2024 to better position the business and its 
iconic brand for the long term, including modernizing its legacy 
operations, driving greater efficiencies, and investing in additional 
marketing campaigns. 
 
 
   "A successful acquisition of True Value assets would represent a 
strategic milestone for Do it Best and home improvement retailers around 
the world," said Dan Starr, Do it Best President & Chief Executive 
Officer. "Do it Best has a proven track record of driving profitability 
through the most efficient operations in the industry. This acquisition, 
if consummated, would provide True Value and independent hardware stores 
the strongest opportunities for growth for years to come." 
 
 
   The agreement with Do it Best, which was reached following a robust 
marketing process, provides significant cash consideration and 
meaningful assumption of liabilities related to the ongoing business. 
The Company is requesting designation of Do it Best as the "stalking 
horse," or lead, bidder and to initiate a competitive bidding process 
under Section 363 of the Bankruptcy Code designed to achieve the highest 
or otherwise best value for the Company. To support the day-to-day 
business through the sale, the Company is seeking to use its cash 
collateral to fund operations. To the extent True Value requires 
additional financing during the process, the Company has received a 
commitment from Do it Best to provide incremental capital. 
 
 
   The Company is also filing with the Court a series of customary motions 
seeking to uphold its commitments to its stakeholders during the 
process. These "first day" motions include requests to continue to pay 
wages and provide benefits to associates in the ordinary course and 
offer essential customer programs. The Company anticipates paying 
vendors in the ordinary course for authorized goods received and 
services rendered after the filing. 
 
 
   The Company is targeting completion of the sale process by year end. 
 
 
   True Value stores are independently owned and are not a part of the 
Chapter 11 proceedings, with the exception of one Company-owned store in 
Palatine, IL. 
 
 
   Court filings and other information regarding the proceedings can be 
found at https://omniagentsolutions.com/TrueValue. Vendors with 
questions can call (866) 771-0561 (U.S. & Canada) or +1 (818) 356-8633 
(international) or email TrueValueInquiries@OmniAgnt.com. 
 
 
   Skadden, Arps, Slate, Meagher & Flom LLP, Glenn Agre Bergman & Fuentes 
LLP, and Young Conaway Stargatt & Taylor, LLP are serving as legal 
counsel, M3 Partners, LP is serving as financial advisor, and Houlihan 
Lokey is serving as investment banker to the Company. 
 
 
   About True Value Company 
 
 
   True Value Company, headquartered in Chicago, is one of the world's 
leading hardlines wholesalers. The globally recognized brand with over 
75 years of experience proudly carries a legacy of empowering 
independent retailers within their local communities, becoming a symbol 
of strength and resilience that customers recognize and trust. 
 
 
   True Value Company has an international network of 4,500 independently 
owned and operated stores that are committed to providing customers 
exceptional products and expert guidance for their DIY and home 
maintenance projects. 
 
 
   While retaining an independent spirit and community focus, operations 
have vastly expanded, providing local stores the freedom to stock 
essential products and offer services for business growth, all while 
maintaining the trusted legacy brand. 
 
 
   True Value is not just a chain of stores, True Value is your trusted 
partner for all things hardware. 
 
 
   Media Contacts: 
 
   Nadia Hill 
 
   Communications Manager | True Value Company 
 
 
   nadia.hill@truevalue.com 
 
   Sherri L. Toub / Wendi Kopsick 
 
   Kekst CNC 
 
 
   TrueValueMedia@KekstCNC.com 
 
 
 
 
 
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   SOURCE True Value Company 
 
 
 
 
 
 

(END) Dow Jones Newswires

October 14, 2024 05:31 ET (09:31 GMT)