Stonebridge Partners has completed the recapitalization of BrandFX Body Company, a manufacturer of composite utility truck bodies.
BrandFX manufactures and sells composite utility truck bodies. Products include service bodies designed for smaller utility trucks, line bodies designed for medium sized utility trucks as well as toppers and inserts designed primarily for compact utility trucks. Composite truck bodies offer advantages over more traditional steel bodies including weight reduction, which results in reduced fuel and maintenance costs. The company has revenues of approximately $80 million and is based in Ft. Worth, TX (www.brandfxbody.com).
Stonebridge conservatively capitalized the transaction with substantial equity to provide for continued growth and accelerated capital expenditures. Lee Finley, the founder of the business, retained the largest individual share of the recapitalized BrandFX. Other members of the BrandFX management team also invested in the common stock of the company. The balance of the equity was provided by Stonebridge in combination with a few of its long term co-investors including BB&T Capital Markets (www.bbtcapitalmarkets.com) and Private Advisors (www.privateadvisors.com). The PrivateBank led the senior financing and there was no mezzanine debt used for this transaction.
At Mr. Finley’s request, Stonebridge recruited a Chief Executive Officer, Art de St. Aubin, well-known to the firm prior to the close of the acquisition and who is working closely with Mr. Finley to develop the company which is experiencing significant demand for BrandFX’s products in the utility marketplace. BrandFX is also looking to add executives in manufacturing and finance and is investing in capital equipment to increase capacity and to further enhance manufacturing efficiencies.
Stonebridge Partners invests in companies with purchase prices between $30 million and $200 million. Sectors of interest include niche manufacturing industries, including building products, infrastructure, specialty packaging and specialty manufacturing. The firm was founded in 1986 and is based in White Plains, NY (www.stonebridgepartners.com).
© 2013 PEPD • Private Equity’s Leading News Magazine • 9-25-13
