HKW Stays Hot with Latest Buy

HKW has acquired Watershield Industries, a manufacturer and distributor of specialized firefighting vehicles and components.

Watershield was established in December 2023 as a holding company platform to consolidate a group of firefighting equipment businesses. The platform was built through a series of acquisitions, beginning with Colorado-based S&H Products in March 2018, Kansas-based Weis Fire & Safety in August 2019, and Colorado-based C&S Supply in April 2022.Weis Fire & Safety manufactures fire apparatus such as mini pumpers, brush trucks, and skid-mounted units, along with foam proportioning systems including the Draft Commander and Foam Commander, which are used to draft water and mix foam concentrates during fire-fighting activities. S&H Products produces fabricated metal components, storage assemblies, and custom parts that support fire apparatus construction. C&S Supply distributes adapters, couplings, strainers, and hose accessories that enable water transport and system connectivity.

Watershield is led by CEO David Hansen and operates facilities in Colorado (2) and Kansas.

“Over the past several years we have built Watershield Industries into a platform serving critical fire and rescue applications across North America,” said Mr. Hansen, the chief executive officer of Watershield. “We are excited to partner with HKW as we enter this next phase of growth and continue investing in our people, our products and our ability to support our customers that rely on our equipment.”

“Watershield is an attractive investment opportunity serving resilient, mission-critical end markets,” said Laurence Lederer, a partner at HKW. “The company has built strong positions in niche firefighting vehicles and specialized equipment, and we believe the platform is well positioned for continued growth.”

HKW (formerly Hammond, Kennedy, Whitney & Company) invests in North America-based companies in the manufacturing, distribution and business services sectors that have EBITDA between $5 million and $30 million. HKW’s latest fund, HKW Capital Partners VI LP, closed in 2021 with $365 million in committed capital. The firm was founded in 1903 by Paul Hammond and is headquartered in Indianapolis, with an additional office in New York City.

“We are excited to partner with both David Hansen and President Brian Loflin as Watershield enters its next chapter,” said Alex Johnson, a vice president at HKW. “We believe the company has a strong foundation with differentiated products, long-standing customer relationships and opportunities to expand its product portfolio and pursue add-on acquisitions across the fragmented fire and rescue equipment market.”

Siguler Guff & Company, LongWater Capital Solutions and Capital For Business provided financing for the acquisition of Watershield. Hennepin Partners was the financial advisor to Watershield.