Race Winning Brands, a portfolio company of MiddleGround Capital, has added on with the buy of TPT Solutions.
TPT is a provider of transmission-focused automotive aftermarket products including rebuilt transmissions, torque converters, valve bodies and other specialty components and kits.
The El Monte, California-based company goes to market under the TransGo, RevMax and Transmission Specialties brands and its products are sold to the light truck, automotive, sport utility and crossover utility vehicle markets.
Race Winning Brands (RWB) is a manufacturer of pistons, engine blocks, cylinder heads, intake manifolds, connecting rods, crankshafts, clutches and other engine and driveline-related components. The company sells its products to the automotive and powersports performance markets under several brands including JE Pistons, Wiseco Performance Products, K1 Technologies, Diamond Pistons, Trend Performance, Rekluse Motor Sports, MGP Connecting Rods, ProX Racing Parts, Dart Machinery, Manley Performance Products, and Victory 1 Performance.
RWB’s customers include professional and sportsman racers, engine builders, enthusiasts, street performance racers, OEM crate engine builders, and automotive and powersports wholesale distributors. The company, led by CEO Bob Bruegging, is headquartered east of Cleveland in Mentor, Ohio with sales and manufacturing operations throughout the United States, Canada, Europe and Asia.
“We believe the addition of these three legendary brands to our family is a natural next step, adding outside-of-the-engine performance,” said Mr. Bruegging. “With a strong presence in both diesel and gasoline transmission products, along with a strong management team led by Frank Kuperman, we see tremendous synergies with this acquisition for many reasons – but especially for our customers.”
The buy of TPT is the second add-on acquisition by RWB since being acquired by MiddleGround from Kinderhook Industries in December 2021 and follows the buy earlier this month of PAC Racing, a North Carolina-based maker of performance springs, from Peterson American Corporation.
“TPT is a perfect addition to RWB’s platform, bringing complementary product categories to RWB’s already-diverse portfolio,” said John Stewart, the founding partner of MiddleGround. “The TPT team has driven impressive above-market growth through its own product portfolio expansion, and RWB’s deep culture of product innovation and strong track record of adding and integrating new brands through acquisition set the combined platform up for success, providing customers with a one-stop-shop experience.”
MiddleGround makes control equity investments from $25 million to $65 million in North American-based business-to-business companies in the industrial and specialty distribution sectors that have enterprise values of up to $200 million. The Lexington, Kentucky-based firm was formed in May of 2018 by former Monomoy Capital professionals John Stewart, Lauren Mulholland and Scot Duncan.
© 2022 Private Equity Professional | April 26, 2022
