The CapStreet Group has completed the sale of GHX Holdings, a distributor of fluid transfer and sealing products, to United Central Industrial Supply.
“We are pleased to have completed the sale of GHX to another leading company in its industry. CapStreet, in partnership with Dan Ahuero, Ben Andrews, and the rest of the management team, built GHX into a much more substantial business over the past five years, adding depth to the management team, upgrading systems, executing on organic growth strategies, and completing nine acquisitions,” said Mike Young, a Managing Partner of CapStreet. “As a result, GHX was able to achieve excellent growth and deliver a strong investment return for our investors and management partners.”
GHX is a distributor of fluid transfer and sealing products to companies participating in refining, chemical/petrochemical, oil and gas, power generation and manufacturing end markets. Products include hoses and fittings, gaskets and sealing products, and valves. GHX currently operates 39 locations through the US and Canada and is based in Houston (www.ghxinc.com).
GHX will merge its operations with those of United Central and will operate as The United Distribution Group. GHX’s management team, including Executive Chairman Dan Ahuero, Executive Vice President Ben Andrews, CEO Richard Harrison and CFO Dan Maddox, will continue in leadership positions in the new, combined company.
United Central Industrial Supply is one of the largest mining supply distribution companies in North America. The company is based in Bristol, TN (www.unitedcentral.net).
CapStreet targets companies with EBITDA’s between $5 million and $15 million and works closely with the management of these companies to help build much larger and more profitable enterprises. Since founding in 1990, CapStreet has raised approximately $700 million of private equity, completed 30 portfolio company investments and completed more than 250 add-on acquisitions for these companies. The firm is based in Houston (www.capstreet.com).
© 2012 PEPD • Private Equity’s Leading News Magazine • 10-15-12