Signs By Tomorrow‘s (Columbia, MD) leadership and asset ownership is set to change in February according to a January 27 announcement. Several leaders of Allegra Network LLC (Plymouth, MI) "have reached an agreement to invest in a new entity which will purchase the assets of Signs By Tomorrow," the companies report. Allegra Network is the parent company of Signs Now.
Signs By Tomorrow, which operates 162 franchises in 36 states, will continue to use its own brand name after the deal, which officially forms an entity dubbed "Sign and Graphic Holdings."
In a press release, Mike Marcantonio, Allegra’s president and CEO, explained the decision: “While Signs By Tomorrow and Signs Now will remain separate companies, we expect that over time both of our organizations and all franchise members will benefit from this alliance.”
Marcantonio is the deal’s majority investor. Several Signs By Tomorrow executives, including Chairman Joe McGuinness, President Ray Palmer and Vice President of Operations Andrew Akers, will be investors in Sign and Graphic Holdings.
Joe McGuinness, who founded Signs By Tomorrow in 1986, is transitioning into retirement. He plans to sell his interest over the next three years. Today, the company’s annual sales are nearly $70 million. George and Judith Coolidge and Gina McGuinness, who were non-management stockholders, have decided not to invest in the new company.
In an official statement, McGuinness said: “As the founder of this organization, I took great care in handpicking a successor in Ray Palmer and financial partners in the members of Allegra Network that would take care of our franchise members with the same care that we have. I plan to remain invested and active for the next three years to ensure a smooth transition.”
The Signs By Tomorrow management team will remain in place, the companies report. Signs By Tomorrow will move some administrative functions to Allegra Network’s headquarters, but will continue to support franchise members from its offices in Columbia, MD.
Feb. 1, 2012: This content was updated to reflect that Signs By Tomorrow’s assets were acquired by an entity comprised partially of Allegra Network LLC leaders, and will operate as a separate entity from Allegra Network.