Graycliff Partners has made an investment in A-1 Machine Manufacturing, a precision component manufacturer. Graycliff invested out of its latest buyout fund, Graycliff Private Equity Partners III.
A-1 Machine is a manufacturer and integrator of machined components and systems that are used in flat panel display equipment, semiconductor equipment and other general industrial end-markets. The company’s products – made from steel, stainless steel, aluminum, and other exotic metals – range from single components to turn-key manufacturing equipment and systems. The company was founded in 1977 by Yong Pak and is headquartered in Santa Clara, CA with additional operations in San Jose, CA and Incheon, South Korea (www.a-1machine.com).
“A1’s geographic presence, with strategic locations in Silicon Valley and Asia, is a strong differentiator for the company, and one that should allow it to grow through a variety of different avenues,” said Carl Barcoma, a Principal at Graycliff.
At closing of the transaction, Dan Rubin was named the new CEO of A-1. “We are extremely enthusiastic about the prospects of A-1, especially with our end markets of OLED (organic light-emitting diode) display and semiconductors strengthening and growing rapidly,” said Mr. Rubin. “Graycliff will help A-1 further increase the development of new product and service capabilities, allowing A-1 to better serve its current customers and penetrate new customers and end-markets.”
Graycliff invests from $5 million to $25 million of equity and mezzanine capital in companies with revenues of at least $10 million and EBITDA margins of 10% or higher. Sectors of interest include manufacturing, services and distribution. Both control and minority investments are considered. The firm was formed in December 2011 by the former investment team of HSBC Capital. Graycliff is headquartered in New York with an additional office in São Paulo (www.graycliffpartners.com).
© 2016 Private Equity Professional • 9-7-16
