One Rock Capital Partners has sold its portfolio company CentroMotion, a maker of industrial actuation and controls, to Lone Star Funds.
CentroMotion is a manufacturer of motion, actuation and control products used in agriculture, specialty and commercial vehicles, construction and industrial applications.
CentroMotion goes to market under several well-known industry brands including Power-Packer, a provider of hydraulic motion control and stabilization systems; CrossControl and maximatecc, providers of operator information and human-machine interface systems; Elliott Manufacturing and Weasler Engineering, providers of flexible and rigid driveline systems; Gits Manufacturing, a provider of thermal and emission control systems; and Carlisle Brake & Friction, a provider of off-highway brake and transmission products.
Customers of the company are primarily on- and off-highway OEMs operating in the transportation, agriculture, construction, and mining sectors and include Volvo, Scania, Honeywell, Cummins, Borg Warner, Caterpillar, Deere, FMC, and Lockheed Martin. Headquartered near Milwaukee in Waukesha, Wisconsin, CentroMotion has 22 manufacturing facilities and more than 3,500 employees.
One Rock formed CentroMotion in November 2019 to acquire the Engineered Components & Systems division of Enerpac (formerly Actuant). At that time, the purchase price for CentroMotion was $214 million and represented a 6.3x multiple of the company’s projected and adjusted FY2019 EBITDA.
“In partnership with One Rock, CentroMotion has developed a platform poised for both organic growth and strategic acquisitions. With the scale and capabilities developed since the business was first carved-out of Actuant Corporation, CentroMotion has driven innovation and expanded its market reach to enhance its ability to serve customers globally,” said R. Scott Spielvogel, a managing partner at One Rock. “We believe the company is well positioned for sustained growth and we look forward to watching its future success.”
One Rock invests in companies that are active in the manufacturing, chemicals, business services, and auto retail sectors. The firm has expertise in complex transactions including corporate carve-outs. Since its founding in 2010 by managing partners Tony Lee and Scott Spielvogel, One Rock has invested in over 35 platform investments and add-on acquisitions. In March 2021, One Rock held a hard cap and final close of One Rock Capital Partners III LP with total capital commitments of $2 billion.
Dallas-headquartered Lone Star invests in private equity, credit, real estate, and other financial assets. Since raising its first fund in 1995, Lone Star has organized 22 private equity funds with aggregate capital commitments totaling over $86 billion.
J.P. Morgan Securities and Goldman Sachs & Co. were the financial advisors to both CentroMotion and One Rock on this transaction.
© 2023 Private Equity Professional | September 7, 2023
