Crossplane Capital has acquired Hynes Industries, a maker of roll formed metal parts and assemblies, from Resilience Capital Partners. Crossplane partnered on this transaction with CEO Rick Organ and other members of the company’s senior management team.
Hynes’ products are used by Fortune 500 and Global 2000 companies in North America that operate in a range of sectors including truck and trailer manufacturing, solar power, automated material handling, and industrial and commercial building products.
Resilience acquired Hynes through its third fund in 2014 with members of the founding Bresnahan family retaining a minority ownership position in the business. In 2019 Hynes received a $6 million investment which was funded largely by 15 members of the company’s senior management team. This investment was in response to the 2017 loss of the company’s largest customer Schletter, a German-based solar mount manufacturer, which filed for bankruptcy in 2018.
Hynes’ product examples include hinge, latch and door components for appliances; steel rails and channels for food manufacturing and processing; racking and shelving components for automated robotic warehouses and fulfillment centers; racking and mounting components for solar power installations from 5 megawatts to over 800-megawatts; and frame, fan tail and bumper assemblies for trucks and trailers.
Hynes has 3 plant locations in Ohio (2) and Indiana and more than 75 roll form mills across almost 500,000 square feet of manufacturing space. The company was founded in 1925 and is headquartered in Youngstown, Ohio.
“Hynes has been an economic engine for the Youngstown community for almost 100 years,” said Brian Hegi, a managing partner at Crossplane. “We are thrilled to partner with Rick Organ, Hynes’s leadership team, and its talented employees to support transformational growth and to continue being an employer of choice in the Youngstown, Painesville and Kokomo communities.”
“Throughout its history, Hynes Industries has built a legacy of Absolute Reliability,” said Mr. Organ. “Partnering with Crossplane enables us to build upon and accelerate our on-going investment into our mission, people, processes and equipment. We are also able to advance our commitment to deliver even greater value to our partners and the communities we call home, as we look forward to the next century of excellence.”
“Under Hynes’s current leadership team, the company has further developed into a customer-centric organization, solving complex customer challenges through collaborative design and value engineering, and consistently delivering quality products on time,” said Michael Bertrand, a vice president at Crossplane. “Crossplane is excited to support Hynes’s growth through investments in capacity expansion and new capabilities to be a seamless manufacturing partner for its customers.”
Crossplane invests control equity in North American-based companies that have $40 million to $200 million in revenue and $0 to $15 million of EBITDA. Sectors of interest include industrial business services, niche manufacturing and value-added distribution businesses. In July 2022, Crossplane held a first and final closing of its second investment fund, Crossplane Capital Fund II LP, above its $325 million target. Dallas-headquartered Crossplane was founded in October 2018.
© 2023 Private Equity Professional | December 13, 2023
