Rotunda Capital Partners has acquired a majority stake in Munch’s Supply Co., a heating, ventilation, and air conditioning (HVAC) distributor operating in Chicago and Northwest Indiana. Munch’s CEO Robert Munch, as well as the rest of the management team, will remain with company.
Munch’s Supply, operating seven branch locations in Chicago and Northwest Indiana with a combined 350,000 square feet of warehouse space, distributes heating and cooling supplies to area dealers and contractors. Munch’s Supply was founded in 1956 by founder Willard Munch and today is a third-generation family business. The company is headquartered southwest of Chicago in New Lenox, IL (www.munchsupply.com).
“Munch’s Supply has built a robust business over 60 years, driven by providing superior products and incredible service,” said Corey Whisner, a partner at Rotunda. “We are thrilled to partner with their existing team to help them reach their next level of growth through continued leadership in the greater Chicago market as well as expansion into new regions.”
“As we evaluated our options for growing the company, it became clear that Rotunda was an ideal partner for us to assist our company in the next stage of expansion,” said Robert Munch. “The firm brings tremendous expertise in the distribution space, and we’ve outlined a strategy together that will allow us to aggressively expand to new regions while continuing to invest in our core Chicago market.”
Rotunda Capital invests in businesses with enterprise values of $5 million to $100 million. Sectors of interest include specialty finance, logistics and distribution, government and business services. Since founding in 2009, Rotunda Capital has completed eight platform investments and realized two exits. The firm has offices in Washington, DC and Chicago (www.rotundacapital.com).
“We see tremendous opportunities for Munch’s Supply to move into other markets through acquisitions of like-minded distributors in other regions,” said Dan Lipson, a partner at Rotunda. “Their culture of service, cultivated through 60 years of family ownership, will continue and offers a tremendous platform for growth, both in Chicago and elsewhere, and we look forward to working with Bob to accomplish his goals for the company.”
Livingstone Partners (www.livingstonepartners.com) served as the exclusive financial advisor to Munch’s Supply.
© 2015 PEPD • Private Equity’s Leading News Magazine • 4-2-15