Lineage Invests in Diamond Mowers
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Lineage Invests in Diamond Mowers

Lineage Capital has made an investment in Diamond Mowers, a maker of industrial mowing, mulching, and brush cutting equipment.

Diamond Mowers’ products, including boom mowers, rotary mowers, flail mowers and forestry mulchers, are used in the municipal, skid-steer and excavator markets. The company entered the skid-steer and excavator attachment markets in 2013 and manufactures rotary mowers and forestry mulchers that attach to skid loaders and excavators – products ideal for small, and large-scale brush clearing operations. The company was founded in 2000 and is headquartered in Sioux Falls, SD (www.DiamondMowers.com).

As part of this transaction, Abacus Finance Group provided senior secured credit facilities to support Lineage’s growth investment in Diamond Mowers. The investment by Lineage and Abacus will be used for new product development, expansion of manufacturing capacity and to fund strategic acquisitions.

“We chose to work with Lineage and Abacus because they will allow us to accelerate our growth plans, consistent with our values and vision for the future,” said Bill Doyle, President of Diamond.

Lineage Capital specializes in the recapitalization of family-controlled and owner-managed lower-middle market companies that have revenues between $20 million and $250 million, EBITDA of at least $4 million and enterprise values between $20 million and $150 million. The firm invests in a range of sectors but areas of specific interest include consumer, industrial, service, and distribution. Lineage Capital was founded in 2003 and is based in Boston (www.lineagecap.com).

“Once again, the Abacus team proved to be flexible in transaction structuring, a reflection of its total focus on meeting borrowers’ needs,” said T. Brook Parker, a Partner with Lineage. “Living up to their reputation, the due diligence was thorough and seamless, they provided assurance of close early on, and moved quickly – all of which was critical in this transaction.”

“This was our second transaction with Lineage, and they again brought us a highly attractive niche company with an impressive portfolio of products and growth opportunities,” said Tim Clifford, President and CEO of Abacus. In September 2016 Abacus backed Lineage’s buy of PerTronix, a San Dimas, CA-based manufacturer of aftermarket electronic ignition systems and exhaust products.

Abacus provides cash flow-based senior financing to private equity-sponsored, lower-middle market companies that have EBITDA between $3 million and $15 million. Debt facilities can be as large as $60 million with a typical hold size ranging from $10 million to $30 million.  New York-based Abacus was formed in June 2011 and is an affiliate of New York Private Bank & Trust (www.abacusfinance.com).

Other Abacus team members involved in the transaction included Senior Vice President Eric Petersen and Associate Joseph Lee.

© 2018 Private Equity Professional | March 28, 2018

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