Prince Industries, a machining and sheet metal fabrication company and a portfolio company of HC Private Investments, has acquired Precision Shapes.
Precision Shapes (PSI) is a provider of complex material and tight tolerance precision machining services, including continuous long-length milling, to companies operating in the aerospace and defense sector.
PSI was founded in 1941 and operates a AS9100-certified facility located 10 miles from Cape Canaveral in Titusville, Florida. HC Private Investments (HCPI) and Isleworth Capital Partners acquired Prince Industries in May 2022 in partnership with CEO Mark Miller and the founding Miller family.
Prince designs and manufactures precision machined and sheet metal fabricated components and assemblies used in telecommunication, hydraulic, medical, dental, computer-peripheral equipment, and electronic applications. The company’s service span from engineering and product design to material selection, process mapping, welding, powder coating and assembly. Prince also provides joysticks and check valves used in the hydraulics and construction equipment sector though its QP Hydraulics division. Prince was founded by Ed Miller in 1959 and has approximately 260 employees and three facilities located near Chicago in Carol Stream (headquarters), Batavia, Illinois, and Shanghai, China.
The combination of Prince Industries and Precision Shapes creates a company with more than 300 employees and four manufacturing facilities.
“The acquisition of PSI significantly enhances Prince’s capabilities and penetration in the growing aerospace and defense market,” said Mark Miller, the CEO of Prince. “Like Prince, PSI was family-owned and managed by two sisters, Susan Palma and Cheryl Cleveland, who worked at the company for over 40 years. We are delighted to partner with Susan, Cheryl, and PSI’s talented management team to offer increased capabilities and a national manufacturing footprint to our combined customer base.”
“We are excited to partner with Prince and HCPI as we look to support the next phase of PSI’s growth,” said Ms. Palma. “We quickly recognized they provide us not only with increased capabilities and scale, but also share our values and unwavering commitment to customers that will benefit the people we serve.”
HCPI makes investments between $10 million and $40 million in lower-middle market manufacturing companies within the consumer and industrial markets that have revenues from $10 million to $75 million and EBITDA from $3 million and $10 million. HCPI’s investments can take the form of control equity, growth equity, structured equity and junior debt. HCPI was formed in June 2017 by HC Technologies, a Chicago-based financial trading firm led by Joe Niciforo with offices in New York, London and Singapore.
HCPI continues to seek complementary add-on acquisitions in aerospace and defense and medical end-markets.
TREP Advisors was the financial advisor to PSI and Wintrust Financial provided debt financing for the transaction.
© 2023 Private Equity Professional | February 9, 2023
