Wynnchurch Capital has completed the sale of Senco, a designer, manufacturer and marketer of branded fastening tools and collated staples, nails and screws, to publicly-traded Kyocera Corporation.
Senco’s products are used in a variety of professional fastening segments including home construction and remodeling, furniture, manufactured housing, and pallets and crating. Senco products are sold through professional distribution outlets in more than 40 countries. The company, led by CEO Ben Johansen, is based in Cincinnati (www.senco.com).
“Wynnchurch provided tremendous support, including access to financial and operational resources, which helped management grow the business, drive continuous improvement and execute on our strategy,” said Mr. Johansen. “In addition, Wynnchurch was instrumental in leading and executing several strategic acquisitions, furthering our efforts in becoming a full-service, world class organization.”
Senco was founded in 1935 by Albert Juilfs as the Springtramp Eliminator Company. Springtramps were devices that improved automotive spring action and eliminated a common vibration problem with cars at the time. In 1947 the company entered the fastener business with the creation of a bag and carton stapler for Federated Department Stores. The company changed its name to Senco in 1951. In May 2009 Senco filed for Chapter 11 bankruptcy protection. Wynnchurch was the stalking horse bidder in the sale process and purchased the company in July 2009.
“Senco represented an opportunity to rejuvenate a company with a strong brand, broad distribution, and differentiated products,” said Frank Hayes, Co-Managing Partner at Wynnchurch. “We are very proud and appreciative of the team’s leadership and accomplishments; significant value creation was driven through improved operational and go-to-market strategies, while also executing on key strategic add-ons.”
Kyocera Corporation (NYSE:KYO), the buyer of Senco, is a supplier of cutting tools, industrial ceramics, electronic components, printers, copiers, solar power generating systems, mobile phones and semiconductor packages. The company was founded as Kyoto Ceramic Company in 1959 and is headquartered in Kyoto, Japan (www.kyocera.com).
Wynnchurch Capital makes investments in middle-market companies that have revenues of $50 million to $1 billion. Sectors of interest include aerospace & defense, automotive, building products, chemicals, food, logistics, energy services & equipment, environmental services, industrial products & services, metals & mining, and paper & packaging. The firm was founded in 1999 and is located in the Chicago suburb of Rosemont with additional offices in Detroit (Bloomfield Hills), Los Angeles (El Segundo), and Toronto (www.wynnchurch.com).
“Senco is an iconic brand in the Pro-Trades channels,” said Steve Welborn, Managing Director at Wynnchurch. “We are delighted to have worked closely with the management team in restoring its legacy, and are proud of the growth and accomplishments achieved in partnership with management during our ownership period.”
Lincoln International was the financial advisor to Senco and Vedder Price was the company’s legal advisor.
© 2017 Private Equity Professional | August 10, 2017
