The Comvest Group, through its portfolio company Lennox Hearth Products, has acquired FMI Products, a designer and manufacturer of gas and wood fueled hearth products. As part of this transaction FMI Products will merge with Lennox Hearth Products to create a new platform company called Innovative Hearth Products.
Innovative Hearth Products is a manufacturer of indoor and outdoor fireplaces, fireplace inserts, free-standing stoves, gas log sets, accessories and venting products for the specialty retail, residential new construction and industrial markets. The company has manufacturing plants in Auburn, WA; Union City, TN; Russellville, AL; Santa Ana, CA; and Laval, Quebec (www.lennoxhearthproducts.com) (www.fmiproducts.com).
“I am very excited to work to bring these two great companies together. The product offerings of the combined businesses are highly complementary and with manufacturing in both the east and the west, we will be even better able to serve our customers. I believe that the combination will be a true leader in the hearth industry,” said Mark Klein, CEO of Innovative Hearth Products.
The Comvest Group provides debt and equity to middle-market companies. For debt investments the firm will invest from $2 million to $20 million per transaction in companies with $10 million to $200 million of revenue that have positive or negative EBITDA. For equity investments the firm will invest from $10 million to $50 million per transaction in companies with $15 million to $500 million of revenue that have positive or negative EBITDA. Since 2000, Comvest has invested more than $1.6 billion of capital in over 110 public and private companies worldwide. The firm is based in West Palm Beach, FL (www.comvest.com).
“We look forward to backing a combined management team of veteran hearth industry executives. We are very pleased with the performance of our investment in Lennox Hearth Products and are investing additional capital to accelerate our growth in the hearth industry,” said John Caple, a Managing Director with Comvest.
© 2012 PEPD • Private Equity’s Leading News Magazine • 9-20-12