Littlejohn & Co. has completed the sale of Henniges Automotive, a provider of vehicle sealing and anti-vibration products, to Aviation Industry Corp. of China.
Henniges designs, develops and manufactures sealing and anti-vibration systems for automotive original equipment manufacturers and tier one suppliers. The company’s sealing systems are used in doors, windows, trunks, lift gates, sun roofs and hoods and its anti-vibration products comprise part of an automobile’s 
drive and power train, chassis and suspension systems. The company’s major customers include global automobile manufacturers. Henniges has 15 manufacturing plants and five engineering and technical centers and nearly 7,000 employees in six countries. The company is headquartered in the Detroit suburb of Auburn Hills (www.hennigesautomotive.com).
Littlejohn acquired Henniges in 2010. During its term of ownership, Littlejohn recruited auto industry veteran Douglas DelGrosso as CEO in 2013 and worked with him and the senior management team to expand manufacturing, develop new business, and complete several add-on acquisitions and strategic alliances. In October 2011, Henniges acquired Nomaseal, a Czech Republic-based maker of thermoplastic elastomers (TPE) weatherseals used in automotive applications. The company later consolidated ownership of its joint venture operation in China, and launched production in four new manufacturing facilities in China and Mexico.
“At the time of our acquisition, we viewed Henniges as a platform through which to invest in the automotive sector, which was in the early innings of recovery following the economic recession,” said Michael Kaplan, a Managing Director of Littlejohn. “Working with Henniges’ management team, we transformed the company into a global leader in its space, achieved double digit top-line growth and more than doubled EBITDA.”
Littlejohn makes control and non-control investments in middle-market companies that are undergoing a fundamental change in capital structure, strategy, operations or growth. The firm invests from $50 million to $150 million of equity in middle market companies that have annual revenues of $100 million to $800 million. Littlejohn invests across a range of industries and acquires manufacturers, distributors, and service providers. The firm is currently investing from Littlejohn Fund V, L.P., which has $2 billion in capital commitments. Littlejohn is based in Greenwich, CT (www.littlejohnllc.com).
“The Littlejohn team provided us valuable assistance and support that enabled us to secure nearly $500 million of new business over the last three years and to drive substantial operational improvements throughout our organization,” said Mr. DelGrosso.
Aviation Industry Corp. of China is a Chinese state-owned aerospace and defense company based in Beijing (www.avic.com).
Morgan Stanley and UBS served as financial advisors and Pepper Hamilton provided legal advice to Littlejohn on this transaction.
© 2015 PEPD • Private Equity’s Leading News Magazine • 9-9-15
