Archives for May 19, 2016

Francisco Partners Acquires Ajax

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Ichor Systems, a portfolio company of Francisco Partners, has acquired Ajax-United Patterns and Molds (DBA Ajax Custom Manufacturing).

Ajax specializes in the manufacturing and assembly of plastic and metal products for the medical/biomedical, semiconductor, data communication and food process equipment industries. The company was founded in 1945 and is family-owned. Ajax is headquartered near San Francisco in Union City, CA (www.ajaxmfg.com).

“This acquisition solidifies our position as one of the largest suppliers of plastic systems in the semiconductor chemical delivery market,” said Tom Rohrs, CEO of Ichor Systems.

Ichor System’s products and systems are used to produce light emitting diodes, microelectronic semiconductor chips, solar panels, superconductor wire and thin film magnetic heads by enabling the precise application of numerous specialty gases, liquids and chemicals.  Ichor has manufacturing locations in California, Oregon, Texas, Singapore, Malaysia and the UK. The company was founded in 1999 and is headquartered south of Portland in Tualatin, OR (www.ichorsystems.com).

With the buy of Ajax, Ichor will increase its global manufacturing footprint including a Class 10K clean room to its existing facilities. “This acquisition places Ichor in the forefront of the fluid mechanics business,” added Mr. Rohrs. “It gives us a great foundation for continued growth in semiconductor plastics and it opens up the opportunity for pursuing additional opportunities in liquid delivery processes.”

Ichor Systems was acquired by Francisco Partners in January 2012. In April 2012, Ichor completed its first add-on acquisition with the buy of Scotland-based Semi Scenic UK Limited (www.semiscenic.co.uk), a provider of engineering services to semiconductor equipment and device manufacturers.

Francisco Partners makes investments in technology companies with transaction values ranging from $50 million to $2 billion. Transaction structures include buyouts, divisional divestitures, recapitalizations, restructurings and growth equity financings. Francisco Partners is headquartered in San Francisco (www.franciscopartners.com).

© 2016 Private Equity Professional • Private Equity’s Leading News Magazine • 5-19-16

Hall-Capital Acquires 4Knines

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Hall-Capital Partners has acquired 4Knines, a maker of fabric-based protective liners and seat covers for autos, trucks and other motor vehicles.

4Knines (“for canines”) sells 36 different products including front seat covers, back seat covers, SUV cargo covers, waterproof dog bed liners and related products. With the closing of the transaction, Hall-Capital Partners is planning to expand the company’s products into the commercial automobile market, specialty pet stores and online e-tailers. 4Knines is based in Phoenix (www.4knines.com).

Hall-Capital Partners (HCP) is the private equity affiliate of Hall Capital, a private investment company owned by the Hall family. HCP makes control or non-control investments of $2 million to $25 million in manufacturing, distribution, or service companies with revenues of $10 million to $100 million and operating profit of at least $1 million. The firm has raised three private equity funds with a total of $250 million of committed capital from the Hall family and outside partners, both individual and institutional. HCP has offices in Oklahoma City, Chicago (Lake Forest), Nashville, and New York (www.hall-capital.com).

© 2016 Private Equity Professional • Private Equity’s Leading News Magazine • 5-19-16

Brynwood to Sell High Ridge to CD&R

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Brynwood Partners has signed an agreement to sell High Ridge Brands to Clayton, Dubilier & Rice for $415 million.  This sale is the largest realization in Brynwood’s 32-year history. The transaction is expected to close before the end of June.

High Ridge Brands was formed by Brynwood Partners in December 2010 to purchase the North American Zest personal cleansing brand from Procter & Gamble and to serve as a platform for further acquisitions in the personal care consumer segment. Completed add-on acquisitions include:

  • The US and Puerto Rican brand and marketing rights to the Alberto VO5 brand and the worldwide marketing and brand rights to the Rave brand from Unilever (August 2011)
  • Global rights to the Coast personal cleansing brand from Henkel (March 2012)
  • Global rights to the White Rain brand from Sun Products (June 2012)
  • Global rights to the brands of La Bella, L.A. Looks, Soft & Dri, Dep, Thicker Fuller Hair, Zero Frizz, Pure & Natural, Adorn, Mink and The Dry Look from Newhall Laboratories (May 2015)
  • Continental Fragrances, the owner of the Salon Grafix hair styling brand (October 2015)

High Ridge has approximately 45 employees and outsources all of its manufacturing. The company is led by James Daniels, President and CEO, and is headquartered in Stamford, CT (www.highridgebrands.com).

“The High Ridge Brands platform highlights Brynwood’s unique capabilities in the corporate carve out sector, having built the company through a series of acquisitions from some of the leading global consumer products companies,” said Henk Hartong III, President and CEO of Brynwood Partners.

Brynwood Partners is an operationally-focused private equity firm that makes control investments in consumer focused lower middle-market companies. The firm has $725 million of capital under management. Brynwood Partners was founded in 1984 and is based in Greenwich, CT (www.brynwoodpartners.com).

CD&R invests in European and US-based businesses.  Since founding in 1978, the firm has invested $21 billion in 66 companies across a range of industries with an aggregate transaction value of approximately $100 billion. CD&R is based in New York and London (www.cdr-inc.com).

William Blair & Company (www.williamblair.com) was the company’s investment banking advisor. Holland & Knight (www.hklaw.com) acted as legal advisor.  Debevoise & Plimpton (www.debevoise.com) was the legal advisor to CD&R and BMO Capital Markets (www.bmo.com) was its financial advisor.

© 2016 Private Equity Professional • Private Equity’s Leading News Magazine • 5-19-16

Blue Ridge Names New Managing Director of Analytics

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Blue Ridge Partners, a management consulting firm that advises on revenue growth, has named Marten Leijon as Managing Director of Analytics. Mr. Leijon is based in the firm’s McLean, VA headquarters.

Blue Ridge Partners is a management consulting firm that helps companies improve the performance of their revenue function in order to create shareholder value. Customers include more than 400 middle market and Fortune 500 companies across multiple industry sectors and over 80 private equity firms. Blue Ridge Partners is engaged by private equity firms both during transaction evaluation/due diligence and post-acquisition.

Mr. Leijon joined Blue Ridge in January 2014. Before his time at Blue Ridge, he was the CEO of MIX (Microfinance Information Exchange) from 2009 to 2014. Earlier, he led several practices for management consulting firm Corporate Executive Board and was also with McKinsey & Company. Mr. Leijon has an MS in Financial Economics and Finance from the Stockholm School of Economics.

“Marten’s expertise in advanced analytic tools, such as our suite of products to identify a company’s best opportunities for accelerating top line revenue growth, prepares him well to lead the development of new tools for our firm and our clients,” said Managing Partner Jim Corey.

Blue Ridge Partners was recently named on Forbes Magazine’s inaugural list of America’s Best Management Consulting Firms. The firm is headquartered in McLean, VA with additional offices in Frankfurt and London (www.blueridgepartners.com).

© 2016 Private Equity Professional • Private Equity’s Leading News Magazine • 5-19-16