CenterGate Capital has acquired Poseidon Barge, a manufacturer of barges used in marine applications.
Poseidon manufactures, sells, and rents Poseidon-branded sectional barges and accessories that are used in marine infrastructure applications including bridge rehabilitation, dam maintenance, and waterway dredging. Poseidon’s barges are made in an array of sizes and configurations and can incorporate a range of customizations. Poseidon has one of the largest sectional barge rental fleets in the United States.
A sectional barge, also known as a modular barge or a sectional pontoon, consists of multiple individual sections that can be connected to form a larger platform or barge. These sections are typically rectangular or square in shape and are often made of steel or other durable materials. The key advantage of sectional barges is their modularity. They can be easily assembled and disassembled, allowing for convenient transportation, storage, and customization.
Poseidon, led by President Mary Habegger-Fox, was founded in 1986 by Donnie Fain and is headquartered south of Ft. Wayne in Berne, Indiana with eight satellite distribution yards in California, Texas, Wisconsin, Missouri, Louisiana, New York, North Carolina, and Florida.
“Since our inception, we have been focused on delivering a superior product through innovation and customer service,” said Mr. Fain. “We have chosen a partner that understands these keys to our success and is committed to helping us maintain and continue to grow our strong customer experience.”
“We are excited about our partnership with CenterGate and the continuity and security it provides for our employees, customers, and vendors,” said Ms. Fox. “The partnership with CenterGate provides us with the capital and strategic resources to continue to grow our company and capabilities while maintaining our focus on best-in-class customer service and market-leading innovation.”
Post-closing, Mr. Fain and Ms. Fox will continue to have an equity interest in Poseidon, with Ms. Fox continuing to lead the company in partnership with CenterGate.
“Donnie, Mary, and the entire Poseidon team have built an impressive organization,” said Michael Smith, a managing director at CenterGate. “We are excited to partner with Poseidon to help them continue their growth and execute on our shared vision for the future.”
Austin-based CenterGate invests from $10 million to $75 million in equity in North America-based lower middle-market companies that have from $5 million to $30 million of EBITDA. Sectors of interest include business services, manufacturing and consumer.
Last week, CenterGate held a final and above target closing of CenterGate Capital Partners II LP with just over $375 million of capital. The buy of Poseidon is the first portfolio company for Fund II. Since its founding in 2014, CenterGate has completed 13 platform investments, 18 add-on acquisitions, and has grown to a team of over 20 people.
True North Strategic Advisors was the financial advisor to Poseidon.
© 2023 Private Equity Professional | August 8, 2023
