Eemax, a portfolio company of The Riverside Company, has completed the add-on acquisition of EcoSmart. Both Eemax and EcoSmart design and sell electric tankless water heaters.
The addition of EcoSmart will also boost Eemax’s manufacturing capabilities and allow the company to expand its geographic coverage, most notably in Florida and Latin America. The acquisition is complementary to Eemax’s business due to EcoSmart’s residential products and customers.
“We’re delighted to bring EcoSmart’s innovative products and design knowhow into the Eemax fold,” said Riverside Managing Partner Loren Schlachet. “EcoSmart’s tankless water heaters have earned a reputation for reliability and innovation, and the deal enhances Eemax’s offerings while providing even more choice to a broader array of customers.
Eemax is based in Waterbury, CT (www.eemax.com) and EcoSmart is based in Miami Gardens, FL (www.ecosmartus.com).
“EcoSmart has a strong distribution network and an outstanding online presence to complement its excellent product line,” said Riverside Vice President Joe Manning. “We are excited about leveraging those strengths to continue growing Eemax and EcoSmart together.”
Working with Mr. Schlachet and Mr. Manning on the transaction for Riverside were Senior Associate Elaine Ho; Operating Partner Jeff Tobin; and Operating Executive, Finance David Pecore. Operating Partner and Managing Director for Riverside in Asia Brian Bunker helped the deal team with due diligence.
The Riverside Company is a private equity firm focused on the smaller end of the middle market (“SEMM”). Riverside specializes in investing in SEMM companies (those valued up to $250 million) and partners with management teams to build companies through acquisitions and value-added growth. Since 1988, the firm has invested in more than 310 transactions with a total enterprise value of more than $6 billion. The firm’s current portfolio includes more than 70 companies. The Riverside Company is headquartered in New York with additional offices in Atlanta, Chicago, Cleveland, Dallas, Los Angeles, San Francisco, and London (www.riversidecompany.com).
Webster Bank provided financing for the transaction. Deloitte & Touche advised Riverside on financial due diligence.
© 2013 PEPD • Private Equity’s Leading News Magazine • 10-2-13
