Golden Gate Capital has agreed to acquire a majority equity interest in G.A.L. Manufacturing Corporation and its sister companies G.A.L. Canada Elevator Products Corporation and Hollister-Whitney Elevator Corporation.
G.A.L. Manufacturing (GAL) is a designer, manufacturer, and distributor of elevator components and systems. The company supplies nearly every electromechanical component used on elevator systems including door operators and associated door equipment, geared and gearless traction machines, universally compatible microprocessor controllers, safety components, signal fixtures, push button panels, and structural assemblies. The company sells its products to thousands of independent elevator contractors and large elevator OEMs. GAL is headquartered in the Bronx, NY, with additional facilities in Quincy, IL, and Mississauga, ON (www.GAL.com) (www.hollisterwhitney.com) (www.GALCanada.com).
GAL was founded in 1927 by Herbert Glaser and today is managed by his sons Herbert Glaser Jr. and Walter Glaser together with third-generation family members Paul Seifried, Sonny Glaser, and Brian Glaser. Upon completion of the Golden Gate transaction, the company will remain in its present manufacturing locations and the Glaser family will continue to maintain a minority ownership position.
“As we explored the idea of finding a partner to support the next phase of the company’s growth, our objective was to find a patient, stable investor with a long-term outlook, significant operational expertise and an outstanding track record of helping management teams and businesses thrive,” said Herbert Glaser Jr. “Golden Gate’s focus on building businesses over a long time horizon makes them an ideal partner to support GAL for many years to come.”
“We have a tremendous amount of respect for the outstanding business and culture that the Glaser family and their employees have built over the past 90 years,” said Rajeev Amara, a Managing Director at Golden Gate. “We are excited to play a role in preserving that legacy and supporting the company’s next chapter of growth, and we are committed to ensuring that GAL continues to deliver great products and outstanding service to its customers.”
Golden Gate Capital targets companies across a range of industries and transaction types, including going-privates, corporate divestitures, recapitalizations, and public equity investments. The firm has approximately $15 billion of capital under management and is based in San Francisco (www.goldengatecap.com).
Houlihan Lokey (www.HL.com) was the financial adviser to GAL on this transaction.
© 2017 Private Equity Professional | May 5, 2017
