Vander-Bend Manufacturing, a portfolio company of Aterian Investment Partners since May 2018, has acquired J.L. Haley Enterprises.
J.L. Haley is a metal fabrication manufacturer that specializes in parts used primarily in medical device applications. The company’s core capabilities include development, engineering, CNC machining, sheet metal fabrication, and assembly.
J.L. Haley, with 140 employees, was founded in 1974 by the Haley family and since 2002 has operated out of a 98,000 square foot facility, which includes administration offices and two manufacturing buildings on 10 acres in Rancho Cordova, CA (www.jlhaleyinc.com).
Vander-Bend is a prototyper, developer, manufacturer, and assembler of precision products sold into a range of Silicon Valley end markets. The company, led by CEO Greg Biggs, was founded in 1980 and is headquartered in San Jose, CA (www.vander-bend.com).
According to Aterian, the combination of Vander-Bend and J.L. Haley creates a niche supplier of scale to many high growth end markets including robotic surgery, radiation oncology equipment, and data center infrastructure. “We are excited to combine Vander-Bend with J.L. Haley,” said Brandon Bethea, a partner at Aterian. “This combination creates a unique and differentiated machining and metal fab solutions provider to the medtech and data technology infrastructure end markets.”
The acquisition of J.L. Haley by Vander-Bend represents a continuation of Aterian’s planned growth and operational initiatives for the company. Since being acquired by Aterian in May 2018, Vander-Bend has opened a second manufacturing facility in Stockton, CA; completed an expansion of its machining equipment in its original San Jose facility; and has expanded the company’s headcount.
Aterian invests up to $65 million in small-to-middle market businesses with $25 million to $500 million in revenues that are underperforming, turnarounds or otherwise unique situations. Aterian held a first and final closing of Aterian Investment Partners III LP with $350 million of committed capital in July 2018. Aterian’s earlier fund closed in December 2013 with $257 million of capital commitments. The firm was founded in 2009 by Brandon Bethea, Michael Fieldstone and Christopher Thomas and is based in New York (www.aterianpartners.com).
Marc Gould of Ventoux Securities was the advisor to the Haley family on this transaction.
© 2019 Private Equity Professional | January 30, 2019
