Quality Companies Acquired in Multi-Million Dollar Joint Venture
Northbrook, IL – Quality Companies LLC, a leading provider of tractor and trailer leasing, and its parent company, 19th Capital Group LLC, have been acquired in a joint venture.
According to a release from H19 Capital, LLC, which is a joint venture between Illinois-based Hilco Global and New York-based Colbeck Capital Management, the two companies acquired 19th Capital in a multi-million dollar deal on May 1, 2020.
In February, 19th Capital announced the Indianapolis, IN-based company would wind down its operations in March.
In an exclusive statement to Transportation Nation Network (TNN), Heather Tulk, president of 19th Capital, attributed the company’s demise to a combination of factors, including the challenging freight environment and a glut of trucks in the market.
“The freight industry deteriorated rapidly in the second half of 2019, with a downturn in the trucking market and accompanying oversupply of Class 8 trucks,” Tulk said. “We conducted a thorough sale process, and although we did receive some offers, unfortunately none of them were viable.”
As part of the latest transaction, H19 Capital purchased thousands of semi-trucks and trailers, all trucking service and support machinery and equipment, all intellectual property, and a substantial portfolio of accounts receivable, including over 600 existing truck leases.
Additionally, the deal includes taking over the lease of two truck yards and the 136,000 square foot facility located at 9702 E. 30th St. in Indianapolis, IN with its engine maintenance, detailing, body and paint shops with a total combined yard capacity to store over 1,700 trucks.
Quality has informed its current customers and lease holders it will continue to be business as usual and its payment terms and schedule will remain the same.
“Hilco and 19th Capital are committed to making this a smooth transition and at this time, nothing will change for our customers,” a Quality Companies statement said. “Hilco plans to operate the business going forward and will be sharing more details here as we move forward.”
Quality was founded in 2007 and is a former subsidiary of the now-defunct Indianapolis-based mega carrier, Celadon Group.
Read more about Quality Companies HERE.
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