Welcome to our dedicated page for 1847 Holdings news (Ticker: EFSH), a resource for investors and traders seeking the latest updates and insights on 1847 Holdings stock.
Overview of 1847 Holdings
1847 Holdings (EFSH) is a diversified holding company that operates across multiple business segments such as agriculture, construction, retail, and automotive supplies. With a clear vision of identifying deep value opportunities, the company works on acquiring undervalued middle market businesses, enhancing their operational infrastructure, and realizing value through divestitures or sustained operations. Leveraging a strategy rooted in operational excellence and systematic asset enhancement, 1847 Holdings focuses on addressing capital market inefficiencies and unlocking intrinsic value in traditionally underappreciated enterprises.
Core Business Segments
The company is structurally organized into several key business segments:
- Land Management Services: Providing a comprehensive suite of services including waste disposal, manure spreading, land rolling, and specialized maintenance for agricultural and farming communities, as well as wholesaling agricultural equipment and parts.
- Retail and Appliances: Offering a wide range of appliance services that encompass sales, delivery, installation, in-home service and repair, as well as extended warranties and financing options to homeowners, builders, and designers.
- Construction and Custom Solutions: Focusing on the design, build, and installation of custom cabinetry, predominantly for custom and semi-custom builders, and supporting broader construction segment services.
- Automotive and Eyewear (Past and Evolving): Involving a focused approach to provide automotive supplies along with previous initiatives in eyewear, reflecting the company’s inclination to diversify while optimizing its portfolio.
Business Model and Value Creation
1847 Holdings employs a unique private equity model that has been refined over years of acquisition and portfolio management. Its strategy rests on acquiring businesses at attractive cash flow multiples and then deploying operational expertise to improve the underlying operations. This approach not only includes the enhancement of assets but also strategic divestitures that eliminate debt and reinforce financial stability. The company's methodology exemplifies how careful asset management can lead to improved operational profits and a refocused portfolio aimed at sustainable cash flow generation.
Market Position and Operational Expertise
In an industry where market inefficiencies often mask intrinsic business value, 1847 Holdings stands out through its analytical approach to identifying and enhancing assets. The company's operations touch on critical industries such as agriculture and construction, where operational reliability and efficiency are paramount. Its diversified portfolio allows it to navigate different market cycles, positioning itself as a compelling subject for those analyzing middle market investment and asset enhancement strategies. Key industry terms such as 'strategic arbitrage', 'cash-flow enhancement', and 'operational synergies' are integral in reflecting the company’s focused approach and expertise.
Strategic Acquisitions and Portfolio Management
The acquisition strategy of 1847 Holdings is built around identifying assets with solid underlying cash flows that are available at reasonable multiples. After acquisition, the focus is on strengthening infrastructure, optimizing operations, and, when beneficial, divesting assets at a profit. This cycle is reflected in various transactions where the company has successfully managed to remove debt from its balance sheet, further emphasizing its commitment to financial discipline and asset value creation.
Conclusion
Overall, 1847 Holdings exemplifies a modern diversified holding company that combines operational expertise with a disciplined acquisition strategy. Its deep involvement in a range of industries, coupled with a commitment to leveraging market inefficiencies, underscores its ability to generate value for stakeholders. The company’s robust model, rooted in strategic portfolio refinement and operational enhancements, continues to shape its reputation as a knowledgeable and methodical participant in the broader middle market landscape.
1847 Holdings (OTC PINK:EFSH) has announced its intention to request a review of the NYSE American's delisting determination. Following the April 3, 2025 notification from NYSE American Regulation Staff to delist and suspend trading of the company's common shares, EFSH submitted a request for an oral hearing on April 9th.
The hearing will be conducted before a NYSE American Listing Qualifications Panel, expected to be scheduled within 45 days of the hearing request. The company will have the opportunity to present its case challenging the Staff Determination. After the hearing, the Panel will issue a written decision detailing the grounds for their determination, with the company having 15 calendar days to request a review of the Panel's decision.
Trading of EFSH common shares remains suspended pending the review outcome.
1847 Holdings (OTC:EFSH) announced its intention to request a review of the delisting determination issued by the NYSE American. The company received a notice on April 3, 2025, from NYSE American stating that NYSE Regulation staff has initiated delisting proceedings for the company's common shares, resulting in an immediate trading suspension.
The delisting determination was made under Section 1003(f)(v) of the NYSE American Company Guide, citing the low selling price of EFSH's common shares. The company has until April 10, 2025, to provide required notice for a review of the staff's determination. During the review period, trading of EFSH's common shares will remain suspended, and the shares will not be quoted on the OTC Pink Sheets or any other OTC market level.
1847 Holdings (OTC PINK:EFSH) has received a delisting notice from NYSE American, resulting in immediate suspension of trading of its common shares. The delisting is due to the low selling price of shares under Section 1003(f)(v) of the NYSE American Company Guide. The company's shares will transition to trading on the OTC PINK Market under symbol 'EFSH'.
The company plans to proceed with a previously announced exchange offer allowing shareholders to convert common shares into newly issued Series G Preferred Shares with a stated value of $0.15. These preferred shares will carry a 15% annual cumulative cash dividend and be convertible into common shares at $2.40 per share. The company maintains the option to redeem preferred shares at 110% of stated value.
The company has until April 10, 2025 to appeal the delisting decision. The transition is not expected to impact business operations, partnerships, or SEC reporting obligations.
1847 Holdings (NYSE:EFSH) has announced a board-approved exchange offer where holders of common shares can exchange their stock for newly issued Series G preferred shares. The offer allows exchanging up to 26,008,978 common shares at a 1:1 ratio.
The Series G preferred shares will have a stated value of $0.15 and carry a 15% annual cumulative cash dividend. The company maintains the option to redeem these preferred shares at 110% of their stated value. The preferred shares are convertible into common shares at $2.40 per share, subject to certain restrictions.
Key conditions include maintaining at least 300 public holders and 500,000 common shares outstanding post-offer. The exchange will only proceed if the minimum threshold of 26,008,978 common shares is met.
1847 Holdings (NYSE:EFSH) reported financial results for 2024, showing a 10.7% revenue increase to $15.7 million and an 18.6% gross profit growth to $7.8 million compared to 2023. The company's gross margin improved by 330 basis points to 49.5%.
Key operational highlights include the acquisition of CMD, which reported pro forma revenues of $30.8 million (13.5% increase) and net income growth of 28.9% to $7.5 million. The company successfully sold High Mountain for $17 million, approximately double its purchase price.
Despite these improvements, the company reported a significant net loss from continuing operations of $106.8 million, largely due to non-cash items including a $77.6 million loss on warrant liabilities. Looking ahead, 1847 Holdings projects revenue exceeding $45 million with $1.3 million net income in 2025, and revenue over $60 million with $5.0 million net income in 2026.
1847 Holdings (NYSE:EFSH) announced it is evaluating strategic alternatives for its subsidiary, CMD Inc., following significant inbound interest from strategic and financial sponsors. The company has engaged BMO Capital Markets to explore potential options aimed at maximizing shareholder value.
CMD, a provider of door solutions, custom cabinetry, and building enhancements, has demonstrated strong financial performance:
- Revenue reached $23.3 million for the nine months ended September 30, 2024, up 21.8% year-over-year
- Gross profit increased 51.3% to $10.8 million
- Operating income grew 85.4% to $6.7 million
- Net income rose 90.6% to $6.6 million
The company serves multi-family residential, institutional, and commercial markets, with a differentiated market position and high-margin business model.
1847 Holdings (NYSE:EFSH) has announced a significant financial turnaround, projecting its first-ever net income of $1.3 million in 2025, with revenue exceeding $45 million. The company expects these figures to grow substantially in 2026, targeting $5.0 million in net income and revenue surpassing $60 million.
The company's transformation strategy has focused on three key areas:
- Portfolio streamlining
- Operational optimization
- Acquisition of high-margin businesses
Notable achievements include the acquisition of CMD Inc., described as a highly profitable cash-generating business, and the strategic divestiture of High Mountain Door & Trim Inc. to Builders FirstSource for approximately $17 million, representing more than double their initial investment.
1847 Holdings' (NYSE:EFSH) subsidiary CMD Inc., a Las Vegas-based cabinetry manufacturer, reported strong financial results for FY2023 and the first nine months of 2024. In FY2023, revenues grew 97.5% to $27.1 million, with net income reaching $5.8 million, marking a significant turnaround from a $1.5 million loss in 2022.
For the nine months ended September 30, 2024, CMD continued its growth trajectory with revenues up 21.8% to $23.3 million and net income increasing 90.6% to $6.6 million. The company has implemented strategic initiatives including expansion into Arizona and Utah markets, establishing a new division for tract home projects in Northern Las Vegas, and plans to enter the Ready-To-Assemble cabinetry market for multi-family housing through synergies with subsidiary Innovative Cabinets and Design.
1847 Holdings (NYSE American: EFSH) has engaged Two Roads Advisors, a boutique investment bank, to manage the sale of its subsidiary Wolo Manufacturing Corp. Wolo specializes in manufacturing and distributing vehicle horns and safety products, including electric and air horns for various vehicles and industrial equipment.
This strategic move aligns with 1847 Holdings' portfolio optimization strategy, shifting focus to acquiring businesses with $5 million or more in EBITDA. While the company remains open to smaller acquisitions ($1-2 million EBITDA), these will only be considered as tuck-in acquisitions to complement existing platforms.
The company aims to identify a strategic buyer for Wolo that can ensure a smooth transition while maximizing stakeholder value. This decision reflects 1847 Holdings' strategic shift toward larger acquisitions, such as CMD, as smaller standalone acquisitions become less practical with the company's increasing scale.
1847 Holdings (NYSE American: EFSH) has announced a special dividend of newly designated Series E Preferred Shares. Shareholders of record as of January 10, 2025, will receive one Series E Preferred Share for each Common Share held. The Series E Preferred Shares will carry 1,000,000 votes per share and will vote together with Common Shares specifically on certain upcoming shareholder meeting proposals.
These preferred shares will not provide any dividends and will be automatically redeemed if not voted before the shareholder meeting opens or upon proposal approval. The shares will be issued in book-entry format only, with no physical certificates. Brokers must finalize allocation instructions with VStock Transfer by January 17, 2025.
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