Precision Machine & Manufacturing Acquired via MBO

Central Valley Fund II (“CVF”), a California-based private equity firm, announced today that it has provided $3.66M in Mezzanine debt and equity capital to support the acquisition of Precision Machine & Manufacturing, Inc. (“PMM” or the “Company”) in partnership with management, led by Kirk Morton, and Socius Capital (“Socius”). Terms of the transaction were not disclosed.

Based in Eugene, Oregon, PMM is a leading industrial, specialty rotary valve, rotary feeder, and screw conveyor manufacturer, providing technical and mission critical products to more than 1,000 end users, cement plants, wood, and paper mills, and energy and mineral industries. PMM’s products are designed to convey virtually any dry, granular, or powdery material. The Company’s tight product tolerances, high-quality materials, and finishes are ideal for abrasive substances such as fly ash, coal, coke, diatomaceous earth, and pebble lime.

PMM’s management team will continue to be led by Kirk Morton, President, who has been leading the company’s daily sales and production operations since 2010 and will continue to lead the Company and with a significant investment.

“With the support of CVF and Socius, PMM will accelerate its long-held strategy of expanding its geographic footprint and broad portfolio of mission-critical products and services through both organic and acquisition growth initiatives,” said Kirk Morton. “PMM has a demonstrated track record of growth, and we will continue to improve PMM’s position as a valued partner to our customers and vendors. We are very excited about our partnership with CVF and Socius and our shared vision for the next phase of growth for PMM.”

Jose Blanco, Partner at CVF, said, “As a leading independent provider of rotary valves, feeders, and screw conveyors, PMM has a strong reputation for technical expertise, customer service, and a broad product and service offering required to serve a diverse set of end markets. The Company’s impressive track record of growth and strong management presents an attractive opportunity for investment. We look forward to working with Kirk Morton, his senior management team, and the entire PMM organization to support the future growth of the Company.”

“We were attracted to PMM by the fact that they focus on the most challenging applications for moving granular materials, and offer a product that outperforms all of their competition,” said David Woodward, Managing Director at Socius. “Nonetheless, these products are still subject to significant ‘wear and tear’ and consequently an important portion of their revenue stream involves replacement or rebuilding of existing products. Support for PMM’s continuing role as a leading manufacturer of industrial products is a central tenet of our investment strategy.”

About PMM

Started in 1977, Precision Machine & Manufacturing has grown from a small machine shop into a complete OEM facility and is recognized as one of the nation’s leading designers and manufacturers of precision rotary valves, feeders, and screw conveyor material handling systems and components.

PMM initially targeted the wood products industry with high-quality feeders and screw conveyors. With the introduction of the modular PMV® rotary valve, the company expanded its reach into the co-generation, mining, cement, chemical, and pharmaceutical industries, among others.

PMM also manufacturers feeders and parts for the blower truck industry, and offers custom machining and fabrication services, utilizing the latest CNC and robotic equipment.

For more information, please visit; http://www.premach.com/

About Central Valley Fund

The Central Valley Fund was established in 2005 and to finance later stage growth and buyouts through mezzanine and preferred equity investments and manages over $140 million in committed capital. The fund has offices in Davis, CA and Fresno, CA.

It is focused on making investments in California’s Central Valley and throughout Western U.S. For more information, please visit http://www.centralvalleyfund.com.

About Socius Capital

Socius Capital is an independent private equity sponsor that focuses on recapitalizations of businesses in the lower middle market, located in the western and southeastern United States. Companies of interest typically have $2-6 mm in EBITDA, and an in-place management team, looking for an active financial partner to help the business achieve its growth objectives.

Socius Capital operates from offices in Idaho, Florida, and Georgia. For more information: www.sociuscapital.com.

Media Contacts:

Kirk Morton, President

Precision Machine & Manufacturing

Eugene, Oregon

Ph. 541-484-9841

Jose Blanco, Partner

Central Valley Fund

Davis, CA

Ph. 530-757-7004 ext. 227

Dave Woodward, Managing Director

Socius Capital

Ketchum, Idaho

Ph. 415-235-3260

CVF Capital Partners Provides $8.0MM in Capital for Acquisition of RSP & Associates

CVF Capital Partners announced today that The Central Valley Fund II made an $8.0 million investment in National Legal Services, LLC (“NLS”). NLS will combine the businesses of Quest Discovery Services (“Quest” or “QDS”) and RSP & Associates (“RSP”), which both provide outsourced legal services. The combination of these two businesses creates a dominant record retrieval and document preparation company. The Company will be led by current Quest CEO, Ken Croney, who brings extensive industry knowledge and experience to the combined Company.

”NLS is proud to take this important step with CVF in establishing a foundation for our future and ensure long-term stability for our customers and employees. We plan to grow, diversify our service and product offerings, create more jobs and drive growth in the medical records industry in California and beyond,” said President and CEO, Ken Croney.

Ed McNulty, Partner at CVF and new NLS Board member, adds, “We are excited about the prospects of this newly formed Company. The combination of Quest and RSP brings together over 80 years of operating experience in the medical record management industry. CVF is proud to partner with the NLS management team to guide its growth and expansion for the long-term.”

About RSP & Associates:

Since 1979, RSP & Associates has been a leader in the litigation support field. The Company provides legal discovery services and storage solutions to self-insured employers, third-party administrators, and insurance companies throughout the State of California.

RSP’s objective is to be recognized as California’s Premier Litigation Support Company committed to the highest standards of practice and innovation.

About Quest Discovery Services:

For over 45 years, Quest has met and surpassed document acquisition, duplication, and distribution needs. From subpoena preparation and service to online order and record management to large volume reproduction and photo duplication to court reporting to Bates numbering and rush delivery, Quest´s dedicated professionals will deliver high-quality services and products every time.

In order to provide its customers with local support and the fastest turnaround times in the industry, QDS operates five full-service offices strategically located throughout California. Each QDS office is able to follow-up, duplicate, and ship records without transferring documents to a central location. Decentralized production facilities allow QDS to efficiently meet all customer’s needs while reducing costs as well as provide Rush and emergency services when necessary.

ioSafe Raises $2.5MM for Growth from Central Valley Fund

ioSafe Inc., the technology leader in disaster-proof hardware, announced today that it has raised $2.50 million of growth capital from California-based private equity investor group, Central Valley Fund II (“CVF”). This capital will allow the Auburn, CA-based company to further expand its disaster-proof product capabilities into the private cloud / network-attached storage (NAS) markets as well as licensing its technology to other data storage companies.

Since ioSafe was founded in 2005, it has used its patented technologies to provide unparalleled physical data security protection against fire, flood, and theft for homes and businesses of all sizes. According to Robb Moore, ioSafe’s CEO and founder, “Physical security of data is often overlooked. Nearly every business has vulnerabilities but still wants the flexibility and accessibility of their data. ioSafe, like an aircraft black box for data, specializes in hardware to help protect vulnerable data wherever it may reside – improving data backup and disaster recovery for its customers.”

“As the rate of data storage growth continues to outpace online bandwidth, the vulnerability of local data persists. ioSafe products uniquely address the physical vulnerability, backup, and disaster recovery of data that is either stuck onsite or waiting to be relocated offsite” says Robb Moore. “We’re excited to have CVF on the team to help propel us into our next phase of growth.”

Ed McNulty, a partner at CVF, stated, “What impresses us most about ioSafe is their strong management team and solid execution which, when coupled with their award-winning hardware products, provides businesses and homes with reliable and cost-effective ways to store and protect data”. Ed McNulty continued, “The rapidly expanding technology sector is driving the country’s economic growth and CVF will continue to focus on serving successful entrepreneurs like Robb Moore to build and operate rapidly growing businesses in California.”

About ioSafe

ioSafe is a privately-held company established in 2005 and is headquartered in Auburn, California. Like an aircraft black box for data, ioSafe provides rugged, fireproof, and waterproof hardware and data recovery services as a cost-effective way for both businesses and consumers to protect critical and irreplaceable data. For more information, please visit http://www.iosafe.com