Hilco Global is a multinational financial services holding company. It operates over twenty businesses in five continents and specializes in asset valuation, advisory, monetization capital, and disposition services. Headquartered in Northbrook, Illinois, it has offices throughout the world and provides services to companies, their lenders and professional services advisers across a broad spectrum of business categories including retail, commercial, industrial and financial. Hilco Global delivers services focused on maximizing the value of under-performing and excess retail, consumer products and industrial inventory, real estate, intellectual property, including consumer brands, patents, and accounts receivable. Hilco Global is also considered one of the largest distressed investment and advisory companies in the world.
History
Hilco Global was founded in 1987 by Jeff Hecktman. Hecktman founded Hilco Trading Company after restructuring his family's industrial supply firm and selling off many of the business' under performing assets. Hilco Global was renamed in 2013, eliminating the use of the name Hilco Trading Company as well as introducing a new logo and website for the company.
Hilco Global began drawing attention from major investors in 2006 when it was announced that Goldman Sachs Group and Cerberus Capital Management were in talks to purchase a significant stake in the company. Hecktman sold part of the company to both investment companies to help finance other ventures, including private equity style buyouts of faded consumer brands. In 2019, Hilco Global sold 27% of itself to La Caisse de dépôt et placement du Québec (CDPQ), a company which manages public Canadian pension and insurance funds. In May 2019, Hilco subsidiary H19 Capital acquired the assets of 19th Capital Group, an Indianapolis transportation and truck leasing company.
Hilco Merchant Resources
In 2000, Hilco Global founded a business division named Hilco Merchant Resources LLC, a subsidiary of the company that specializes in retail inventory valuation, retail store closings, retail inventory disposition, fixture, furniture, and equipment disposition, and asset protection. Michael Keefe and Cory Lipoff, formerly of Gordon Brothers, joined HMR the same year with Keefe becoming the CEO. In 2001, the division became known as one of the top five liquidation firms in the United States, having been involved in the $1.8 billion liquidation of Montgomery Ward following that company's bankruptcy. Some of its most notable disposition and liquidation deals included work for Sears, Sears Canada, CompUSA, Sportmart, PharMor Rx, Coldwater Creek, Charming Charlie, and Target Canada. In 2016, the division helped save Aéropostale from final liquidation, eventually allowing the retailer to restructure and reopen over 500 stores. As Toys "R" Us stores closed in 2018, Hilco Merchant Resources oversaw the nearly $2 billion liquidation of their inventory and assets. Hilco Merchant Resources also expanded its operations by opening an office in Australia, taking on retail inventory liquidations of stores that include Fletcher Jones, Dubbo Everyday Living and Dick Smith.
ReStore Capital
In 2019, Hilco Global launched ReStore Capital which resolves shipping and stocking problems between vendors and retailers. ReStore Capital buys shipments from vendors and then consigns the goods to retailers.
Hilco Real Estate
Hilco Global founded its real estate business division in 2000 with the formation of Hilco Real Estate, LLC, to be a national provider of accelerated real estate disposition and advisory services. It has acted as agent or principal for numerous real estate acquisitions and sales. It was co-founded by Mitchell Kahn who served as the company's CEO until 2008. Kahn was replaced by Neil Aaronson as CEO and Gregory Apter was promoted to President of the company. Hilco Real Estate was responsible for numerous large transactions in real estate including 1,200 leases for MCI Worldcom that the company either sold or renegotiated. It also closed hundreds of Blockbuster stores following the company's 2010 bankruptcy as well as approximately 200 Borders Book Stores following that company's 2011 bankruptcy. Hilco Real Estate was also involved with the selling of over 165 unused properties owned by Hostess after that company filed for bankruptcy in 2013.