Martell is a construction services company specializing in sidewalks, curb and gutter, and concrete pavement. The company acts primarily as a subcontractor on larger projects and its core markets include the Fox Valley, northeastern Wisconsin and Upper Michigan. Martell is active in the commercial, municipal, residential, industrial, heavy highway and marine segments. The company is based in Green Bay, WI (www.martellco.com).
Generation Growth Capital (GGC) invested in Martell in December 2008. During GGC’s ownership, Martell maintained solid margins and steady growth in a difficult construction economy. The transaction realized an approximate two times cash on cash return, and an IRR in excess of 20% over a nearly five-year period.
“We are very pleased with our investment in Martell and wish the ownership group continued success in taking the company to the next level,” said Cory Nettles, Managing Director of GGC.
Generation Growth Capital invests from $1 million to $10 million in manufacturing, service, and distribution businesses that have enterprise values of less than $30 million and sales ranging from $5 million to $50 million. Investments are primarily structured as equity but subordinated debt and warrant structures are also considered. The firm is headquartered in Milwaukee and has an additional office in Chicago (www.generationgrowth.com).
“GGC was a great partner that helped us establish operational and financial systems that allowed us to better manage the business,” said Mike Carney, former President of Martell. “GGC’s approach to investing for growth worked out well for the company.”
© 2013 PEPD • Private Equity’s Leading News Magazine • 9-18-13