Industrial Opportunity Partners (IOP) has completed the sale of Trantech Radiator Products to Main Street Capital. IOP acquired Trantech in November 2011.
Trantech is a designer, manufacturer and supplier of radiators, coolers and cooling systems for transformers used in the generation, transmission and distribution of electric power. The company’s products are sold to transformer original equipment manufacturers as well as aftermarket customers for repair and replacement applications.
Trantech was founded in 1932 and operates out of a single facility in Edgefield, SC (www.trantechradiators.com).
“We would like to thank the management team at Trantech, led by President Greg Horton,” said Chris Willis, a director at IOP. “We appreciated the opportunity to work with them over the years and we believe the company will continue to thrive under Main Street’s ownership.”
IOP focuses on acquiring middle-market manufacturing and value-added distribution businesses, typically with revenues between $30 million and $400 million. The firm targets businesses with strong product, customer, and market positions and provides both management and operational resources to support sales growth and operational improvements. IOP is headquartered in the Chicago suburb of Evanston (www.iopfund.com).
“I believe Trantech has become a premier supplier to the electric power industry under the leadership of the company’s management team,” said Tom Paisley, an IOP operating principal. “I wish Trantech and Main Street Capital much success in the future.”
Main Street Capital provides senior and subordinated debt and equity capital to lower middle market companies with revenues of $10 million to $150 million and EBITDA from $3 million to $20 million. Sectors of interest include consumer discretionary, energy, financials, healthcare, industrials, materials, technology, telecommunications and transportation. The firm is headquartered in Houston (www.mainstcapital.com).
The sale of Trantech is IOP’s tenth investment realization from its $185 million inaugural fund which was raised in 2006 and 2007.
Houston-based investment bank Gulfstar Group (www.gulfstargroup.com) was the financial advisor to IOP on this transaction and Winston & Strawn (www.winston.com) provided legal services.
© 2019 Private Equity Professional | June 5, 2019
