Argosy Private Equity has acquired Preco, a Kansas-based maker of die-cutting and laser cutting equipment.
In addition to laser cutting equipment, Preco manufacturers rotary die cutters and provides contract manufacturing services including laser cutting, perforating, welding, heat-treating and die-cutting. The company’s customers are active in a range of end markets, including industrials, abrasives, packaging, defense, electronics, energy storage, and medical.
Preco, led by CEO Timothy Burns, was founded in 1976 and is headquartered near Kansas City in Lenexa, Kansas, with additional facilities in Wisconsin and Europe.
“We are very excited to announce our new partnership with Preco and its dynamic leadership team,” said Michael Bailey, a partner at Argosy. “Preco has been a recognized leader in the specialty die-cutting and laser processing industries for decades, and we are looking forward to working together to grow the business through further development of the company’s product and service offerings.”
“Preco is pleased to join forces with Argosy Private Equity, opening a new chapter in our nearly 50-year history of pursuing opportunities and growth for the benefit of our customers and employees,” said Mr. Burns.
Argosy Private Equity invests from $5 million to $25 million in lower middle-market companies that have revenues up to $100 million, EBITDA up to $10 million, and EBITDA margins of 10% or greater. Sectors of interest include niche manufacturing and business-to-business services companies. Argosy Private Equity is a division of Argosy Capital, an investment adviser with $2.3 billion of assets under management. The firm was founded in 1990 and is headquartered near Philadelphia in Wayne, Pennsylvania.
The acquisition of Preco is the fourth platform investment made by Argosy’s sixth equity fund and follows the buys of utility equipment maker Global Power Products in February 2022, medical device manufacturer Bionix in January 2022, and financial services provider Wittenbach Business Systems in April 2021.
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