Velocity Express

Velocity Express (NASDAQ:VEXPQ) is the only national provider of regional shipping solutions. A weak economy and a competitive environment have pressured valuations of express delivery companies (e.g., FDX and UPS), thus key understanding of gross margins and the changing nature of advertising are critical valuation considerations. Velocity recently underwent several capital restructurings and infusions and turned to Caliber Advisors to evaluate the fairness of these transactions, from a financial point of view.

While determining the fair market value of the enterprise is a central exercise to any fairness opinion, evaluating the capital structure, preferences and access to capital are also essential for companies like Velocity which make significant use of debt and preferred stock as sources of capital. Our expertise with the complex, highly levered structures enables us to fully understand the implications of these transactions and to communicate this understanding in lay terms to the Board for its consideration.