Svoboda Capital Partners has sold Blake & Pendleton to Five Points Capital and members of the company’s senior management team. Svoboda acquired Blake & Pendleton in June 2013 from KLH Capital.
Blake & Pendleton (B&P) is a regional distributor of air compressors, compressed air automation systems, pumping equipment, and flow control products to companies operating in the manufacturing, textiles, food, automotive, and agriculture sectors. B&P also provides technical and service support on the equipment that it sells. The company was founded in 1971 and has approximately 160 employees at 14 locations in Alabama, Georgia, northern Florida, Mississippi, North Carolina, and Tennessee. B&P is headquartered in Macon, GA (www.blakeandpendleton.com).
Allen King, CEO of B&P, and the rest of the management team will continue forward with the company as collective majority stakeholders. “Our partnership with Svoboda Capital has been beneficial and enhanced the long-term growth and success of B&P,” said Mr. King. “As we move forward into the next phase, we are excited to build upon our strong foundation to continue growing our business.” Five Points Capital arranged the senior debt, provided the second lien financing and made a significant equity co-investment alongside the management team in this transaction.
“On behalf of Svoboda Capital Partners, it has been a pleasure to work with the team at B&P. Under Allen’s leadership, the team has built a strong organization that is committed to their customers and highly respected within the industry,” said Richard Harpster, Managing Director at Svoboda Capital Partners. “We are excited for the opportunity this gives management going forward as majority owners.”
Svoboda Capital invests from $10 million to $20 million in business services, value-added distribution, and consumer products companies that have revenues from $10 million to $100 million and EBITDAs from $3 million to $15 million. The firm was founded in 1998 and has over $300 million of capital under management. Svoboda Capital is based in Chicago (www.svoco.com).
Five Points Capital (formerly known as BB&T Capital Partners) invests equity and subordinated debt in lower middle market buyout, acquisition, growth, and recapitalization transactions as a control investor on a standalone basis or as a co-investor with other financial sponsors. Sectors of interest include business, healthcare and industrial services; niche manufacturing; value-added distribution; and education and training. The firm is headquartered in Winston-Salem, NC (www.fivepointscapital.com).
© 2017 Private Equity Professional | November 27, 2017
