Archives for January 2013

Trive Capital Acquires Precise Packaging

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Trive Capital has acquired Precise Packaging, a manufacturer of complex pressurized spray products.  As part of the acquisition, Trive has partnered with the company’s current management team who will maintain a meaningful ownership position in the business.

“The Precise Packaging team has built an impressive organization, centered on a culture of excellence and close customer relationships,” said Conner Searcy, Managing Partner at Trive.  “Trive’s experience in the sector allowed us to quickly recognize the company’s unique market position and future growth potential.  We look forward to partnering with management in providing the strategic and financial support necessary to execute on Precise Packaging’s numerous opportunities.”

Precise Packaging (PPI) is a manufacturer of miniature aerosol and pump products.  The company’s products include room sprays, fragrance oils, cosmetic mousses, deodorants, and other solutions used in personal care and household markets.  The company offers turnkey services from initial laboratory formulation and material sourcing, through production, filling, quality check and delivery.  Precise Packaging was founded in 1988 and is based in Fall River, MA (www.precisepackaging.com).

“We were looking for a partner that could provide more than just capital.  Management was impressed with Trive’s ability to develop a vision that will allow the business to grow responsibly while maintaining our commitment to superior service.  We believe this partnership will enable us to succeed in expanding our capabilities and footprint,” said Richard Armstrong, CEO of Precise Packaging.

Trive was introduced to Precise Packaging by Salem Partners (www.salempartners.com), a Los Angeles-based investment bank focused on middle-market mergers and acquisitions.

Trive Capital invests from $5 million to $40 million in US based middle market companies that have revenues from $30 million to $500 million.  Sectors of interest include automotive & transportation; aerospace & defense; building products; construction & infrastructure; consumer goods; energy services; healthcare; manufacturing/industrials; chemicals; distribution; business & professional services; and communications. The firm is based in Dallas (www.trivecapital.com).

“The acquisition of PPI represents Trive’s second platform investment since the formation of the firm six months ago in June 2012.  We remain committed to pursuing attractive lower middle-market companies that can benefit from a strategic partner and exhibit compelling growth potential.  We are very pleased that the PPI management team has selected Trive as its partner to further build the business,” said Chris Zugaro, Partner at Trive.

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-14-13

Rockbridge Growth Equity Acquires Triad Retail Media

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Rockbridge Growth Equity has acquired Triad Retail Media, an operator of digital retail media programs. Falcon Investment Advisors partnered with Rockbridge on the transaction.

Triad was previously owned by H.I.G Growth Partners, CEO and founder Greg Murtagh, and COO and President Roger Berdusco.  Following the transaction, Messrs. Murtagh and Berdusco will remain in their current positions as chief executive officer and chief operating officer of Triad, and will also continue to be equity partners with Rockbridge.

Triad Retail Media creates, manages and operates digital retail media programs for highly-trafficked retail websites.  Triad’s retail partners include Walmart, Sam’s Club, eBay, Toys“R”Us, CVS, and other leading retailers.  Triad has more than 300 employees in more than six offices in the United States, including Tampa, FL (headquarters); Orlando, FL; Rogers, AR; Chicago, IL; New York, NY; and San Jose, CA (www.triadretail.com).

New York based investment bank Petsky Prunier (www.petskyprunier.com) served as the exclusive financial advisor to Triad Retail Media.  Petsky Prunier’s team was led by Sanjay Chadda, Michael Petsky, and Matthew Kratter.

Rockbridge Growth Equity invests in business and technology services companies focused on the digital media, marketing services, financial and business services, and consumer-direct marketing sectors.  The firm is located in Detroit, MI (www.rbequity.com).

Falcon Investment Advisors specializes in providing from $10 million to $75 million of subordinated debt and other junior capital to support management or leveraged buyouts, growth or acquisition capital, dividend recaps, generational transfers, structured finance and restructurings.  Since its founding in 2000, Falcon has raised $1.7 billion and invested in more than 50 companies in a range of industries.  The firm has offices in Boston and New York (www.falconinvestments.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-14-13

JPB Capital Partners Exits Ilex Consumer Products

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JPB Capital Partners has sold its equity ownership in Ilex Consumer Products Group to Yellow Wood Partners at a multiple of more than two times its investment in less than 24 months.  JPB Capital Partners invested in Ilex Consumer Products Group in January 2011 to finance the company’s acquisition of the St. Joseph’s brand from Johnson & Johnson.

Ilex Consumer Products Group (ICPG) is a consumer brand management company that owns and licenses brands in the health, beauty and over-the-counter pharmaceutical sectors.  Brands include St. Joseph’s, di-Gel, Calgon and the Healing Garden. The company was founded in 2008 and is based in Baltimore (www.ilexgroup.com).

Following its initial investment in January 2011, the team at JPB Capital Partners worked with the management team at Ilex Consumer Products to (i) acquire the St. Joseph’s brand from Johnson & Johnson, (ii) re-establish the supply chain and retail distribution for St. Joseph’s low dose aspirin to more than 40,000 doors in less than six months, (iii) expand the St. Joseph’s brand to the 325 mg. and Cough & Cold categories, and (iv) acquire a license to and re-launch the di-Gel brand of digestive aids in 2012.

“The sale of Ilex Consumer Products to Yellow Wood represented a great opportunity to realize a significant return on our investment, as well as position the company for additional significant growth with the proven consumer products investment team at Yellow Wood,” said JPB Capital Partners’ Senior Managing Director Jim Bolduc.

JPB Capital Partners makes equity investments in lower-middle market companies located primarily in the Mid-Atlantic and Southeast US and participating in or benefiting from the consumer and health care sectors of the US economy.  JPB Capital Partners was founded in 1995 by JP Bolduc, the former President and CEO of W.R. Grace & Co.  The firm is based in Columbia, MD (www.jpbcapital.com).

Yellow Wood Partners seeks to invest in consumer brands and companies with revenues between $30 million and $200 million, with targeted equity investments ranging from $10 million to $80 million per investment.  The firm was founded in 2011 by Dana Schmaltz and Peter Mann; both have experience investing in and operating consumer packaged goods businesses such as Blacksmith Brands, Prestige Brands, Meow Mix, Medtech, and the Spic And Span Company.  Yellow Wood has offices in Boston, MA and Irvington, NY (www.yellowwoodpartners.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-14-13

Intervale Capital Acquires Aegis Chemical Solutions

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Intervale Capital has made an equity investment in Aegis Chemical Solutions, an oilfield chemicals and water treatment business.  The transaction merges Aegis with Mid-Chem, a Midland, Texas-based production chemicals business, and positions Intervale as the majority owner of Aegis.

Aegis provides oil and gas production chemicals and chlorine dioxide treatment services to customers in major oilfield markets, with a particular focus on the Permian Basin of West Texas and Southeastern New Mexico.  The company is headquartered in The Woodlands, TX, with operations in Midland, TX and other areas of the Permian Basin (www.aegischemical.com).

Intervale plans to invest additional capital to expand Aegis’s geographic reach and to strengthen its product and service offering.

“We are very pleased to partner with an excellent team at Aegis to grow the company into a premier independent oilfield chemicals provider.  We believe there is a tremendous opportunity for Aegis to expand its products and services within its existing Permian Basin footprint and to other major producing regions,” said Charles Cherington, Managing Partner at Intervale.

Intervale Capital invests exclusively in middle-market oilfield services and manufacturing companies and related technologies. The firm has more than $650 million under management and is currently investing from its second fund. The firm is headquartered in Cambridge, MA with an additional office in Houston, TX (www.intervalecapital.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-14-13

Huron Has Final Close on Fund 4 Above Target

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Huron Capital Partners has completed the first and final closing of its fourth investment fund, The Huron Fund IV L.P., with $500 million in aggregate commitments.  Huron experienced strong demand for the offering, exceeding its original target of $400 million and hitting its hard-cap soon after launching the fundraising process in September 2012.

“We are grateful for the strong support we received from returning and new investors and the confidence they displayed in our seasoned team of investment professionals and operating partners,” said Brian Demkowicz, Managing Partner of Huron.

The Fund 4 investor base includes international and domestic public and corporate pension funds, insurance companies, endowments and foundations, financial institutions, funds-of-funds, and family trusts.

With its latest fund, Huron will continue its operationally-focused, buy-and-build approach to investing in the lower middle-market.  The firm focuses on opportunities where it can partner with seasoned executives to acquire fundamentally sound companies and drive significant earnings growth through strategic initiatives, operational improvements, and add-on acquisitions.

Huron Capital Partners invests up to $70 million per transaction in middle market companies that have revenues up to $200 million and EBITDAs of $5 million or more.  Sectors of interest include education & training, healthcare, specialty chemicals, specialty packaging, consumer products, home décor, business services, industrial manufacturing, food & beverage, and marketing services.  Since its founding in 1999, Huron has acquired or invested in 61 companies with aggregate revenues in excess of $1 billion. Huron Capital currently manages over $1.1 billion in committed equity through four private equity funds, and has offices in Detroit and Toronto (www.huroncapital.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-14-13

NXT Capital Acts Backs Latest PNC Riverarch Buy

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NXT Capital has provided a $27 million senior secured credit facility to fund PNC Riverarch Capital’s acquisition of Goldco, a Burger King franchisee.  NXT Capital was the Sole Lead Arranger, Sole Bookrunner and Administrative Agent for this transaction.

Goldco is a Burger King franchisee that operates 96 stores in the southeastern United States. The company is based in Dothan, AL (www.goldcoinc.com).

“We’re very pleased to close another transaction with NXT Capital,” said Michael Hand, Managing Director, PNC Riverarch. “NXT once again provided the flexibility and creativity we value and allowed us to quickly close the transaction on terms that address the company’s growth plans.”

NXT Capital provides structured financing to middle-market and growth companies through its Corporate Finance, Real Estate Finance and Venture Finance groups, originating transactions directly on a national basis. The company targets senior financing opportunities of up to $150 million with a hold size up to $50 million. NXT Capital is led by former principals of Merrill Lynch Capital and was formed in 2010 by Stone Point Capital and the founding management team. The firm is based in Chicago with offices in New York, Atlanta, Boston, Dallas, Newport Beach and Silicon Valley (www.nxtcapital.com).

PNC Riverarch Capital is a middle-market private equity group that invests in privately-held companies headquartered throughout North America.  It seeks to invest from $10 million to $50 million per transaction in support of recapitalizations, leveraged and management buyouts, corporate divestitures, and growth financings.  Sectors of interest include outsourced services, specialized manufacturing, and value-added distribution.  Since 1982, PNC Riverarch and its predecessors have provided over $1 billion in capital to more than 100 companies. The firm is based in Pittsburg (www.riverarchcapital.com).  PNC Riverarch Capital is a division of PNC Capital Finance, which is a wholly owned indirect subsidiary of The PNC Financial Services Group (www.pnc.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 1-14-13