Genstar Capital has sold its portfolio company MW Industries, a provider of springs, specialty fasteners and other precision components, to American Securities.
Genstar acquired MW Industries in June 2011 from Brockway Moran & Partners. During its term of ownership the company completed 12 add-on acquisitions that broadened its product line and positioned the company in higher growth markets, including aerospace, consumer products and medical sectors. Today, MW Industries is a provider of springs, specialty fasteners, machined parts and other precision components to more than 23,000 customers in 35 countries.
The company’s 40,000 SKUs are sold through a combination of direct sales, catalogs and distributors to original equipment manufacturers and aftermarket customers in the aerospace, medical, electronics, energy, agriculture/construction, automotive replacement and military sectors. MW Industries is based in the Chicago suburb of Rosemont (www.mw-ind.com).
“Genstar has greatly enjoyed partnering with the MW team in transforming its business,” said Rob Rutledge, Managing Director of Genstar. “During our ownership, we meaningfully increased the scale of MW’s leadership team, supported the implementation of the OneMW Operating System, and through acquisitions expanded the company’s product portfolio and end markets, all of which contributed to a doubling of revenue. Importantly, MW is strongly positioned for continued growth to further support its customers and the market’s needs.”
Genstar invests from $50 million to $400 million in middle-market companies that have enterprise values from $50 million to $1 billion and EBITDAs greater than $15 million. The firm targets investments in the financial services, software, industrial technology, and healthcare industries. Genstar was founded in 1988 and is based in San Francisco (www.gencap.com).
“I am proud of the growth in scale, talent and capabilities that MW has achieved under Genstar’s ownership,” said John Bagnuolo, Chief Executive Officer of MW. “Increased investments will deliver long-term growth, and combined with the new systems and processes we put in place, MW will continue to grow and expand our products, channels and geographies. Our management team and employees are excited to further strengthen our position as an industry leader and world-class supplier through additional strategic acquisitions and investments.”
American Securities invests in businesses with $200 million to $2 billion of revenue and $50 million to $200 million of EBITDA. Sectors of interest include industrial manufacturing, specialty chemicals, aerospace and defense, energy, business services, healthcare, media, restaurants, and consumer products. The firm has more than $15 billion of capital under management and has offices in New York and Shanghai (www.american-securities.com).
Baird (www.rwbaird.com) was the financial advisor to MW Industries on this transaction.
