Archives for April 10, 2013

Monomoy Acquires Quick Fuel Technology

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High Performance Industries, a portfolio company of Monomoy Capital Partners, has acquired Quick Fuel Technology, a manufacturer of high performance carburetors.

Quick Fuel Technology is a manufacturer of modular carburetors and fuel system components used in the racing, marine and aftermarket products sectors. The company is headquartered in Bowling Green, KY (www.quickfueltechnology.com).

High Performance Industries is a manufacturer of automotive aftermarket products, including carburetors, electronic fuel injection kits, exhaust headers and fuel pumps. The company markets its products through a portfolio of brands, including: Holley, Hooker Headers, Flowtech, Earl’s, and Weiand. The company was founded in 1903 and is headquartered in Bowling Green, KY (www.holley.com).

LBC Credit Partners agented a $60 million senior secured term loan to High Performance Industries, to support the acquisition of Quick Fuel Technology and to fund a dividend recapitalization. LBC was the Agent, Sole Lead Arranger and Sole Bookrunner for this transaction. In June 2012, LBC Credit Partners provided a $37.5 million senior secured term loan and an equity co-investment to support the purchase of High Performance Industries by Monomoy.

LBC Credit Partners is a provider of middle market financing to companies with EBITDAs generally greater than $10 million. Products include senior term, unitranche, second lien, junior secured and mezzanine debt and equity co-investments supporting sponsored and non-sponsored transactions. LBC invests from $10 million to $50 million per transaction supporting acquisitions, growth strategies, refinancings, recapitalizations, and restructurings. LBC has more than $1.25 billion of capital under management and has offices in Philadelphia, Chicago and New York (www.lbccredit.com).

Monomoy Capital Partners has $700 million in assets under management and makes control investments in middle market businesses with revenues between $50 million and $500 million in the manufacturing, distribution, consumer product and foodservice industries. Monomoy is currently investing out of its second fund, Monomoy Capital Partners II, L.P., a $420 million vehicle that closed in January of 2011. Over the past five years, Monomoy has closed over 40 middle market acquisitions, and its companies currently produce over $1.1 billion in combined sales and employ more than 4,500 people. The firm is headquartered in New York (www.mcpfunds.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 4-10-13

Edison Ventures Exits Sentrx Safety Solutions

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Edison Ventures has sold its portfolio company Sentrx Safety Solutions, a pharmacovigilance services organization, to Telerx.

Sentrx Safety Solutions provides pharmacovigilance services to the life sciences industry. Pharmacovigilance is the pharmacological science relating to the collection, detection, assessment, monitoring, and prevention of adverse effects with pharmaceutical products. The company was founded in 1995 and is headquartered in Little Falls, NJ (www.sentrx.com).

Fairmount Partners introduced the parties and advised both Telerx and Sentrx on the transaction. Neal McCarthy, Managing Director of Fairmount Partners, led the team which represented Sentrx and Edison Ventures. “It was a pleasure to represent Mike O’Gorman, CEO of Sentrx and the partners at Edison Ventures. Sentrx will be an excellent addition to Telerx,” said Mr. McCarthy.

Fairmount Partners specializes in assisting companies in mergers and acquisitions, capital raising and strategic advice. Fairmount completes most of its transactions in its key focus areas: Technology & Software, IT & Business Services, Healthcare, and Consumer & Industrial, and has completed transactions throughout North and South America, Europe and Asia. The firm is based in the Philadelphia suburb of West Conshohocken (www.fairmountpartners.com).

“We are extremely pleased to add the Sentrx team, led by Mike O’Gorman, CEO, and their industry leading pharmacovigilance capabilities to our Telerx services platform. Working with Fairmount Partners, we will continue to seek highly complementary acquisitions,” said Howard Snyder, VP of Mergers and Acquisitions for Telerx.

Telerx provides services for the management of complex and sensitive interactions in the healthcare marketplace including, access & reimbursement, product recalls and critical events, quality and compliance and patient assistance. Telerx is headquartered in Horsham, PA (www.telerx.com).

Edison Ventures invests from $5 million to $10 million in information technology businesses that have revenues from $5 million to $20 million. In addition to providing expansion capital, Edison also invests in management buyouts, recapitalizations, spinouts and secondary stock purchases. The firm was founded in 1986 and is based in Lawrenceville, NJ (www.edisonventure.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 4-10-13

Huron Acquires International Blends

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Ronnoco Coffee, a portfolio company of Huron Capital Partners, has acquired International Blends, a distributor of coffee products. This is Ronnoco’s first add-on acquisition since being acquired by Huron in July 2012.

International Blends is a distributor of coffee and other related products to convenience stores, restaurants, and offices. The company is based in Jefferson City, MO (www.internationalblends.net).

“When we partnered with Ronnoco, our plan was to continue growing the business through geographic expansion, new product offerings and strategic acquisitions. The International Blends acquisition is a great first step and we look forward to pursuing additional acquisition opportunities with the Ronnoco management team,” said Huron Senior Partner John Higgins.

Ronnoco Coffee is a manufacturer and distributer of coffee, tea and related products sold to convenience stores, foodservice outlets and offices throughout the central United States. The company was founded in 1904 and is based in St. Louis, MO (www.ronnoco.com).

“We are very excited to partner with International Blends and have the opportunity to serve their customer base. International Blends is a well-known name in its geography and we believe it fits well into the strategic acquisition plan that we are currently pursuing in partnership with Huron Capital,” said Scott Meader, CEO of Ronnoco.

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 62 companies with aggregate revenues in excess of $1 billion. The firm 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 • 4-10-13

Evolution Acquire AXIOM Sales Force Development

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Evolution Capital Partners has acquired AXIOM Sales Force Development. This is Evolution’s third platform investment for the firm’s second fund.

AXIOM provides sales coaching, sales methodology, integrated software solutions and implementation services. AXIOM offers sales training and resources through live events, customized coaching, and an online learning center. The company is based in Dallas (www.axiomsfd.com).

“We are very excited to have partnered with AXIOM and its management team, their approach to sales force training is extremely well received in the marketplace and has been described as transformative by its customers,” said Jeffrey Kadlic, Co-Founder & Managing Partner of Evolution Capital Partners. “We look forward to a bright future ahead working with the AXIOM team.”

Evolution Capital Partners is a private equity fund investing $2 million to $10 million of equity, in partnership with management, to sponsor buyouts of light industrial, service and distribution businesses. Evolution targets companies with free cash flow of $500,000 to $2 million. The firm is based in a Cleveland (www.evolutioncp.com).

“It is refreshing to have partners who are as passionate about the vision of our business as we are,” said Bob Sanders, President, AXIOM. “We are thrilled to continue building on the platform currently in place, enhancing our product offerings and resources available to our customers.”

© 2013 PEPD • Private Equity’s Leading News Magazine • 4-10-13

Thoma Bravo Acquires VMware Protect Product Family

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LANDesk Software, a provider of systems lifecycle management, endpoint security and IT service management, and a portfolio of Thoma Bravo, has acquired VMware’s Protect product family of IT management solutions, which VMware acquired through its purchase of Shavlik Technologies in 2011.

The addition of what LANDesk is now calling the Shavlik Protect portfolio expands LANDesk’s user-oriented IT management market presence with access to new channels and a product line that complements its existing portfolio of Total User Management solutions.

The Shavlik Protect product line, which enables customers to manage, monitor and secure their IT environments, includes solutions for centralized patch management and asset inventory for Windows and third party applications for both virtual and physical machines; centralized antivirus, power management, and ITScripting.

“We are continuing our successful acquisition strategy to expand our IT management market presence, and with the addition of the Shavlik Protect portfolio, will deliver unmatched user-oriented IT management technologies, products and expertise for our enterprise customers,” said Stephen Daly, CEO of LANDesk Software. “With the Shavlik Protect portfolio, we are also adding an important new go-to-market channel which will allow us to make some of our offerings available for download.”

LANDesk Software is a provider of systems lifecycle management, endpoint security, and IT service management solutions for desktops, servers and mobile devices across the enterprise. LANDesk is headquartered in Salt Lake City (www.landesk.com).

Thoma Bravo provides equity and strategic support to management teams building growing companies. The firm originated the concept of industry consolidation investing, which seeks to create value through the strategic use of acquisitions to accelerate business growth. Thoma Bravo currently manages approximately $4 billion of equity capital. The firm was founded in 1981 and has offices in Chicago and San Francisco (www.thomabravo.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 4-10-13

BGL Elects a New Partner, Builds Investment Banking Team

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Brown Gibbons Lang & Company has elected a new partner and the added five new professionals to its investment banking team.

Michael Vinciguerra joins the most senior ranks of the firm as a newly named partner. Mr. Vinciguerra joined BGL as an analyst in 2006 and during his tenure has worked on over 30 transactions, gaining significant experience working with a broad spectrum of clients across many of BGL’s industry practices.

“For the partners of the firm, it is always a special occasion and particularly rewarding for us to witness the professional growth, maturity and deal instincts we have seen during Michael’s tenure with the firm,” said John Tilson, managing director and principal. “At BGL, we provide a clear promotional path for employees who demonstrate enthusiasm, perseverance, and a strong work ethic. After seven years of hard work, tireless commitment, and unwavering client dedication, Michael is well-deserving of this milestone, and we look forward to his future contributions to the firm.”

Michael Goettemoeller joins BGL as vice president from Bank of America Merrill Lynch where he was a vice president in the Middle Market Investment Banking Group providing investment banking execution to middle market commercial banking clients in the technology, industrials, and cleantech sectors. Prior to entering the investment banking industry, he was an engineering manager at Texas Instruments, where he developed and executed semiconductor chip and end product software and hardware solutions. “Mike brings a wealth of investment banking and operating expertise to our team that will surely benefit our clients,” said Andrew Petryk, managing director and principal.

Joining the Cleveland office is Casey Sears as associate. Mr. Sears joins BGL after having completed his MBA at The University of Chicago Booth School of Business. Mr. Sears has previous experience working as a summer associate in the equity capital markets group at Santander Global Banking and Markets. Mr. Sears also spent five years advising clients as a management consultant and two years in real estate private equity focusing on investments in the hospitality sector.

BGL’s Real Estate Group has hired Robert Flanigan as vice president and Michael Vidmar as analyst. Mr. Flanigan joins the firm from the Townsend Group where he was an assistant portfolio manager in the Private Equity/Institutional Real Estate Group responsible for a discretionary portfolio valued at over $500 million. Mr. Vidmar recently received his MBA and JD from Case Western Reserve University and his undergraduate degree in Finance and Management Information Systems from John Carroll University.

Dan Nicholls joins BGL’s Healthcare & Life Sciences Group as an analyst. Mr. Nicholls was previously a financial analyst with CNA Financial Corporation and is a graduate of the University of Michigan Stephen M. Ross School of Business.

Brown Gibbons Lang & Company is an investment bank that provides corporate finance advisory and transactional services to middle market companies with enterprise values up to $500 million. The firm’s clients include family owned and closely held businesses, private equity sponsors, publicly owned corporations, emerging growth companies, and credit institutions and banks. BGL was founded in 1989 and has offices in Chicago, Cleveland, Salt Lake City, and Seattle (www.bglco.com).

© 2013 PEPD • Private Equity’s Leading News Magazine • 4-10-13

Sierra Constellation Partners Opens in Los Angeles

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Corporate turnaround advisor Lawrence Perkins has launched Sierra Constellation Partners, an interim management and advisory firm to middle market companies facing financial restructurings, or operational and ownership transitions.

Sierra Constellation Partners (SCP) has four main service lines: interim management, advisory services, strategic investment advisory services, and direct capital investments. The firm represents middle market companies as well as their management teams, board members, private equity sponsors, lenders, creditors and hedge funds. SCP will also partner with select investors to serve as management teams for potential acquisitions and portfolio companies. The firm has a team of eight professionals, including senior executives John Barger, Timothy Hassenger, Karl Pearson, Reece Fulgham and David McCarthy. Sierra Constellation Partners is based in Los Angeles (www.sierraconstellation.com).

“I am pleased to announce the opening of Sierra Constellation Partners,” said Mr. Perkins, who serves as the firm’s chief executive officer. “Our team is comprised of experienced business managers equipped with the operational skills and experience necessary to rapidly implement solutions for companies facing various challenges. Our team has worked together for more than 10 years. Over that time, we have successfully led more than 100 turnaround or restructuring situations, creating long-term improvements that drive value well into the future. We are also well positioned to invest in companies seeking a dramatic change in their performance.”

Before co-founding SCP, Mr. Perkins was senior managing director and regional leader of Conway MacKenzie. He joined Conway MacKenzie in 2010 when Conway MacKenzie acquired El Molino Advisors, a firm that Mr. Perkins founded in January 2007. He has also provided consulting services through Alvarez & Marsal, Nightingale & Associates and Arthur Andersen.

© 2013 PEPD • Private Equity’s Leading News Magazine • 4-10-13