Bowers and Merena Auctions to Join Forces with Stack’s to Create Stack’s-Bowers...
ianrussell
Posts: 2,502 ✭✭✭✭✭
Just appeared on Yahoo Finance:
Spectrum Group International’s Bowers and Merena Auctions to Join Forces with Stack’s to Create Stack’s-Bowers...
IRVINE, Calif.--(BUSINESS WIRE)-- Spectrum Group International, Inc. (SPGZ.PK) announced today that its subsidiary Bowers and Merena Auctions, one of the world’s pre-eminent auctioneers of rare coins and currency, has entered into an agreement with Stack’s, the oldest rare coin retail and auction company in the U.S., to combine their operations. The new company, which will be known as Stack’s-Bowers Numismatics, with a world coin division to be known as Stack’s-Bowers and Ponterio, will be owned 51% by Bowers and Merena Auctions and 49% by Stack’s. The closing, which is subject to the satisfaction of customary conditions, is expected to take place in early 2011.
Greg Roberts, president and chief executive officer of Spectrum Group (SGI), commented, “We believe that this combination, once consummated, will create a major player in the coin industry. Stack’s had over $65 million in aggregate sales in 2010 and between them, the two companies have handled many of the significant coin collections that have sold at public auction, including the Eliasberg Sales, the Norweb Sales and the Ford Collections.”
Bowers and Merena Auctions president Chris Napolitano, who will serve as president of the combined company, said, “I am honored and excited to lead this new venture, which combines two of the leading names in our industry. We consider Stack’s to be the crown jewel of coin auction houses and with this partnership, we have assembled a numismatic team that we believe to be unequaled in the industry. We look forward to continuing and expanding Stack’s auction and retail locations in mid-town Manhattan, which serve not only the greater New York metropolitan area but also the entire east coast.”
Added Mr. Roberts, “A significant factor for SGI in pursuing this merger was the opportunity to partner with Charles, Joel and Harold Anderson and the rest of the Anderson family, who own a controlling interest in Stacks. For years I have enjoyed a strong personal and professional relationship with the Andersons and now look forward to a long-lasting association with the family through Stack’s-Bowers Numismatics. We intend to continue the long tradition that the Stack family developed over many decades in New York. For years it has been a goal of ours to have a presence in NYC. With this partnership, we will achieve that goal at one of the most famous and prestigious addresses in the numismatics industry: 123 West 57th Street, New York, New York.”
Joel Anderson commented, “We are looking forward with great enthusiasm to the successful combination of these two fine companies. Both have rich histories of service with integrity to the numismatic community and together their combined resources and talents will bring new levels of service and value to the numismatic market. In addition, Charles, Harold and I have assembled some nice collections and we are pleased that Stack’s-Bowers Numismatics will be there for us when the time comes to sell.”
Concluded Mr. Roberts, “Consistent with our goal of creating long-term value for our shareholders, we have made the decision to focus our energy on growing our core trading and numismatics businesses, and this transaction is a key part of that strategy. For those same reasons, we have entered into an agreement to sell our arms and armor auction company, Greg Martin Auctions, back to Greg Martin and his partners, following its January auction in Las Vegas. Under Mr. Martin’s leadership, we have every expectation that Greg Martin Auctions will continue its tradition of providing expert appraisal and auction services to collectors of antique firearms.”
http://finance.yahoo.com/news/Spectrum-Group-Internationals-bw-2307779255.html?x=0&.v=1
Spectrum Group International’s Bowers and Merena Auctions to Join Forces with Stack’s to Create Stack’s-Bowers...
IRVINE, Calif.--(BUSINESS WIRE)-- Spectrum Group International, Inc. (SPGZ.PK) announced today that its subsidiary Bowers and Merena Auctions, one of the world’s pre-eminent auctioneers of rare coins and currency, has entered into an agreement with Stack’s, the oldest rare coin retail and auction company in the U.S., to combine their operations. The new company, which will be known as Stack’s-Bowers Numismatics, with a world coin division to be known as Stack’s-Bowers and Ponterio, will be owned 51% by Bowers and Merena Auctions and 49% by Stack’s. The closing, which is subject to the satisfaction of customary conditions, is expected to take place in early 2011.
Greg Roberts, president and chief executive officer of Spectrum Group (SGI), commented, “We believe that this combination, once consummated, will create a major player in the coin industry. Stack’s had over $65 million in aggregate sales in 2010 and between them, the two companies have handled many of the significant coin collections that have sold at public auction, including the Eliasberg Sales, the Norweb Sales and the Ford Collections.”
Bowers and Merena Auctions president Chris Napolitano, who will serve as president of the combined company, said, “I am honored and excited to lead this new venture, which combines two of the leading names in our industry. We consider Stack’s to be the crown jewel of coin auction houses and with this partnership, we have assembled a numismatic team that we believe to be unequaled in the industry. We look forward to continuing and expanding Stack’s auction and retail locations in mid-town Manhattan, which serve not only the greater New York metropolitan area but also the entire east coast.”
Added Mr. Roberts, “A significant factor for SGI in pursuing this merger was the opportunity to partner with Charles, Joel and Harold Anderson and the rest of the Anderson family, who own a controlling interest in Stacks. For years I have enjoyed a strong personal and professional relationship with the Andersons and now look forward to a long-lasting association with the family through Stack’s-Bowers Numismatics. We intend to continue the long tradition that the Stack family developed over many decades in New York. For years it has been a goal of ours to have a presence in NYC. With this partnership, we will achieve that goal at one of the most famous and prestigious addresses in the numismatics industry: 123 West 57th Street, New York, New York.”
Joel Anderson commented, “We are looking forward with great enthusiasm to the successful combination of these two fine companies. Both have rich histories of service with integrity to the numismatic community and together their combined resources and talents will bring new levels of service and value to the numismatic market. In addition, Charles, Harold and I have assembled some nice collections and we are pleased that Stack’s-Bowers Numismatics will be there for us when the time comes to sell.”
Concluded Mr. Roberts, “Consistent with our goal of creating long-term value for our shareholders, we have made the decision to focus our energy on growing our core trading and numismatics businesses, and this transaction is a key part of that strategy. For those same reasons, we have entered into an agreement to sell our arms and armor auction company, Greg Martin Auctions, back to Greg Martin and his partners, following its January auction in Las Vegas. Under Mr. Martin’s leadership, we have every expectation that Greg Martin Auctions will continue its tradition of providing expert appraisal and auction services to collectors of antique firearms.”
http://finance.yahoo.com/news/Spectrum-Group-Internationals-bw-2307779255.html?x=0&.v=1
Ian Russell
Owner/Founder GreatCollections
GreatCollections Coin Auctions - Certified Coin Auctions Every Week - Rare Coins & Coin Values
Owner/Founder GreatCollections
GreatCollections Coin Auctions - Certified Coin Auctions Every Week - Rare Coins & Coin Values
0
This discussion has been closed.
Comments
Didn't wanna get me no trade
Never want to be like papa
Working for the boss every night and day
--"Happy", by the Rolling Stones (1972)
Sounds like the big shot Andersons couldn't make Stacks work. Its like a rich guy buying a sports team and thinking they can win all the time with out knowing how to play.
Is Spectrum losing money too?
Personally I prefer the name as "BowerStacks". A lot easier to say.
Authorized dealer for PCGS, PCGS Currency, NGC, NCS, PMG, CAC. Member of the PNG, ANA. Member dealer of CoinPlex and CCE/FACTS as "CH5"
Is Anderson taking a 49% stake in Stacks-Bowers only or in the whole SGI company?
Authorized dealer for PCGS, PCGS Currency, NGC, NCS, PMG, CAC. Member of the PNG, ANA. Member dealer of CoinPlex and CCE/FACTS as "CH5"
hrh
<< <i>SO QDB gets part of his name back finally?
Sounds like the big shot Andersons couldn't make Stacks work. Its like a rich guy buying a sports team and thinking they can win all the time with out knowing how to play.
Is Spectrum losing money too? >>
I like Stacks infinitely better since the Stacks left.
Interesting that the press release makes no mention of QDB.
CG
PCGS Registries
Box of 20
SeaEagleCoins: 11/14/54-4/5/12. Miss you Larry!
<< <i>I like Stacks infinitely better since the Stacks left. >>
I agree. I had a hard time working with the Stack family members.
Authorized dealer for PCGS, PCGS Currency, NGC, NCS, PMG, CAC. Member of the PNG, ANA. Member dealer of CoinPlex and CCE/FACTS as "CH5"
Hopefully, there will be additional PR.
I firmly believe in numismatics as the world's greatest hobby, but recognize that this is a luxury and without collectors, we can all spend/melt our collections/inventories.
eBaystore
Now there are only two auction companies left .......
I want to hear what Laura or Bruce have to say about this deal.
I like Heritage ! Greg Rohan is the best closer in the auction business. He will do just about anything to get a deal.
I consider Chris Napolitano a friend and a very shrewd business man. He also can produce some amazing coins
The competition will get fierce is my prediction.
Stewart Blay
I think the name should be Bowers and Stack's. But that would lead to the inevitable B&S.
Chris will have his work cut out for him. Good luck.
I hope Bowers & Merena uses Stack's new web site. I also hope the database of ANR, Stack's and Bowers & Merena archived sales don't become lost.
<< <i>SO QDB gets part of his name back finally?
Sounds like the big shot Andersons couldn't make Stacks work. Its like a rich guy buying a sports team and thinking they can win all the time with out knowing how to play.
Is Spectrum losing money too? >>
This is a manifestation of one of the ugliest mouths I've heard recently. Why don't you wait for another Legend thread to insert your sniffer where the sun don't shine.
Have you ever had a thought of your own?
Where do you get the ugly mess you spew? We think we know. Any experience other than buying coins from Legend?
Quick, email her. What does Edgar Bergen want Charlie McCarthy to say next?
Do you know any of the Anderson's? Any of the Stacks, Greg Roberts, Chris Napolitano, QDB. From whence arises such wisdom?
Is his sister, Big Sis???
Quotable quote from when I walked in there.-
I had a couple of coins I wanted to sell and was having Austin (the new guy behind the counter)
looking at my coins and pricing them for me.
Out comes a certain someone who now runs the stack's office (not andrew) and said "oh he's a dealer, dont buy from him, he wants dealer prices."
I guess if you can't rip a deal from the public they dont want your business.
So- I packed my things up and walked the 5 blocks to the HERITAGE office and had a most pleasant time selling all the coins to Heritage.
Stacks needs new management.
<< <i>Other question:
Is Anderson taking a 49% stake in Stacks-Bowers only or in the whole SGI company? >>
The announcement seems to indicate that it is Stack's-Bowers only ... at least that is how I read it.
<< <i>Probably the only chance they have of competing with Heritage... >>
Yea, verily.
Obscurum per obscurius
It made every small collector that much smaller.
Why would Stacks want to be part of a company that is under a cloud of the Afinsa Ponzi scheme and is still pending a lawsuit in Spain and is listed on the US pink sheets?
Can I now drop off Teletrade consignments at the Stacks NY office and save the postage?
Spectrum owned B&M BEFORE this deal. The newcomer is Stacks to Spectrum
<< <i>I don't get this. Spectrum coin business did $156M in sales last year and Stacks did $65M. How does Stacks get 49% of the coin segment? They should have gotten around 25%. >>
Which would you rather have: a company that grosses $10M a year and nets $1.5M or one that grosses $25M a year and nets $1M? Volume means very little in valuing a company - what matters more is net profit, ability to leverage that volume into greater profits and strategic fit.
<< <i>too bad, I just won a B&M auction and l0ved the personal service, now with spectrum involved there goes the small to large organization which I was not looking forward too. >>
Spectrum has owned Bowers and Merena since 2003.
Authorized dealer for PCGS, PCGS Currency, NGC, NCS, PMG, CAC. Member of the PNG, ANA. Member dealer of CoinPlex and CCE/FACTS as "CH5"
So the answer is Stacks has a higher profit margin. Makes sense. Doesn't that get eroded now that they become part of a public company and have to be audited and file tons of paperwork? Profits at a private company don't translate 1:1 to profits at a public company. Sometimes profits at a private company actually turn to losses at a public company.
<< <i>
<< <i>SO QDB gets part of his name back finally?
Sounds like the big shot Andersons couldn't make Stacks work. Its like a rich guy buying a sports team and thinking they can win all the time with out knowing how to play.
Is Spectrum losing money too? >>
This is a manifestation of one of the ugliest mouths I've heard recently. Why don't you wait for another Legend thread to insert your sniffer where the sun don't shine.
Have you ever had a thought of your own?
Where do you get the ugly mess you spew? We think we know. Any experience other than buying coins from Legend?
Quick, email her. What does Edgar Bergen want Charlie McCarthy to say next?
Do you know any of the Anderson's? Any of the Stacks, Greg Roberts, Chris Napolitano, QDB. From whence arises such wisdom?
None of them should be judged by amateurish classless piss-ants such as the contemptible ignoramus I have quoted.
I like Legend just fine but DaveE drinks way too much of the Legend kool-aid. There are other good dealers out there that aren't named Legend.
<< <i>Which would you rather have: a company that grosses $10M a year and nets $1.5M or one that grosses $25M a year and nets $1M? Volume means very little in valuing a company - what matters more is net profit, ability to leverage that volume into greater profits and strategic fit.
So the answer is Stacks has a higher profit margin. Makes sense. Doesn't that get eroded now that they become part of a public company and have to be audited and file tons of paperwork? Profits at a private company don't translate 1:1 to profits at a public company. Sometimes profits at a private company actually turn to losses at a public company. >>
That's not necessarily the answer, but could be one factor. The marginal cost of a private company going public is HUGE, but not so much for a public company acquiring a private one.
roadrunner
<< <i>I think this is a great merger and I wish the new S-B all the best. The Andersons are wonderful, classy folks...who have been great for the coin industry. Is it ok to say "mazel tov" this close to Christmas? ;-) >>
Yes, it is OK, John.
I firmly believe in numismatics as the world's greatest hobby, but recognize that this is a luxury and without collectors, we can all spend/melt our collections/inventories.
eBaystore
Your jealous I am a very public Legend lover. Laura is the best in my book.
One thing you don't have to be a genuis on, is a company or people that are in a revolving door. I liked it when coin collecting and the companies involved were all smaller 30 years ago. Places like Spectrum are killing mom and pop business all in the matter of a buck. Is bigger really better for the coin market?
Leo
The more qualities observed in a coin, the more desirable that coin becomes!
My Jefferson Nickel Collection
TD
<< <i>I spoke with a friend who works for Stacks, and he is very enthusiastic about the move. He says that the staff in general is very upbeat about it.
TD >>
Tom, can we infer that they were downbeat/unenthusiastic [about Stacks] before the announcement?
I know I was.
<< <i>Listen Jessup, maybe one day you'll rub me the right way.
Your jealous I am a very public Legend lover. Laura is the best in my book.
One thing you don't have to be a genuis on, is a company or people that are in a revolving door. I liked it when coin collecting and the companies involved were all smaller 30 years ago. Places like Spectrum are killing mom and pop business all in the matter of a buck. Is bigger really better for the coin market? >>
Why would I be jealous of your being a very public Legend lover?
Actually, I would pay big money to NOT watch THAT videotape.
<< <i>The only thing left will be the eventual Stack's-Bowers-Goldberg. Need some competition in NY and LA.
roadrunner >>
I agree. No one loves a Lone Wolf more than Longacre, but I think that the Cousins need to get in bed with someone soon.
Didn't wanna get me no trade
Never want to be like papa
Working for the boss every night and day
--"Happy", by the Rolling Stones (1972)
One thing you don't have to be a genuis on, is a company or people that are in a revolving door. I liked it when coin collecting and the companies involved were all smaller 30 years ago. Places like Spectrum are killing mom and pop business all in the matter of a buck. Is bigger really better for the coin market? >>
Let me guess - you dont shop at Walmart?
Well , Heritage did just recently open offices in Beverly Hills and NYC.
Perhaps the timing of this merger is more than coincidence?
Member ANA, SPMC, SCNA, FUN, CONECA
<< <i>
<< <i>The only thing left will be the eventual Stack's-Bowers-Goldberg. Need some competition in NY and LA.
roadrunner >>
I agree. No one loves a Lone Wolf more than Longacre, but I think that the Cousins need to get in bed with someone soon. >>
Larry and Ira have told me they are quite satisfied and secure operating in their very successful self-defined business niche. They have more money than they need, and all the market share they want. And time for the grand-kids.
<< <i>
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
<< <i>[q}
One thing you don't have to be a genuis on, is a company or people that are in a revolving door. I liked it when coin collecting and the companies involved were all smaller 30 years ago. Places like Spectrum are killing mom and pop business all in the matter of a buck. Is bigger really better for the coin market? >>
Let me guess - you dont shop at Walmart? >>
He probably still wears a necktie and fedora when he goes to a baseball game, too.
<< <i>
<< <i>[q}
One thing you don't have to be a genuis on, is a company or people that are in a revolving door. I liked it when coin collecting and the companies involved were all smaller 30 years ago. Places like Spectrum are killing mom and pop business all in the matter of a buck. Is bigger really better for the coin market? >>
Let me guess - you dont shop at Walmart? >>
He probably still wears a necktie and fedora when he goes to a baseball game, too. >>
I understand progress and capitalism and shareholder value and all that, but at the end of the day I'd much rather deal with the mom & pop guy than the faceless corporation. Who wouldn't?