Pfingsten Partners has sold its portfolio company Hy-Bon Engineering Company to Regal Beloit Corporation.
“We were pleased to partner with the Hy-Bon management team to deliver this outstanding return for our shareholders. The successful sale of Hy-Bon to Regal Beloit clearly demonstrates the continuing strength of Hy-Bon’s business model,” said Scott Finegan, Pfingsten Managing Director.
Hy-Bon Engineering Company, acquired by Pfingsten in July 2009, is a manufacturer of vapor recovery units and replacement parts and a provider of related field and emissions testing services for the oil production, biogas, and industrial markets. Products are sold to oil and gas companies and include customized vapor recovery units with a variety of compressor styles for storage tanks, production facilities, and oil fields both on and offshore. Hy-Bon is headquartered in Midland, TX (www.hy-bon.com).
“Hy-Bon management, in partnership with Pfingsten, built a leading provider of highly technical vent gas management solutions. Pfingsten’s support for new products, regional service center expansion and acquisitions was invaluable,” said Larry Richards, Hy-Bon President and CEO.
Pfingsten Partners invests in middle market manufacturing, distribution and business services companies. Since completing its first investment in 1991, Pfingsten Partners has acquired 93 companies and has over $1 billion of capital under management. The firm is based in Chicago and has additional offices in India and China (www.pfingsten.com).
Baird acted as the exclusive financial advisor to Hy-Bon and Pfingsten. Baird’s deal team was led by Joe Packee, Managing Director.
“As the U.S. expands its energy production, there is a need to implement products and services that capture, and ideally re-use, the gases that are discharged as a part of this production and related storage,” said Mr. Packee. “With an increased focus on the economic benefits and the environmental and safety matters surrounding our country¹s growing oil production capabilities, solutions provided by Hy-Bon are of great importance.”
Regal Beloit Corporation (NYSE: RBC) is one of the largest electric motor manufacturers in the world. The company had sales in 2013 of more than $3 billion. Regal Beloit was founded in 1955 as Beloit Tool Corporation and is headquartered in Beloit, WI (www.regalbeloit.com).
© 2014 PEPD • Private Equity’s Leading News Magazine • 2-12-14
