AEA Investors and Battery Ventures have finalized the sale of Process Sensing Technologies (PST) to DwyerOmega, a portfolio company of Arcline Investment Management.
PST is a manufacturer of instruments, analyzers, and sensors for measurement and monitoring applications. Its product portfolio includes hygrometers, dew-point transmitters for trace moisture measurements in gases and liquids, and oxygen and binary gas analyzers using zirconia, paramagnetic, and electrochemical technologies.
These products are widely utilized across industries, including life sciences, specialty gases, semiconductors, energy, petrochemicals, power generation, gas detection, food and beverage, and building automation.
Battery Ventures established PST in 2016 through the acquisition of UK-based Michell Instruments. In December 2020, AEA Investors acquired a majority stake in PST, while Battery retained a minority interest. Over the past year, PST has expanded its operations with several notable acquisitions, including Austria-based Sensore Electronic in August 2023 and California-based SensoScientific in February 2023. Headquartered in Ely, United Kingdom, PST operates additional facilities in the United States, Germany, and China. The company is led by CEO Adam Markin.
“AEA and Battery have been excellent partners to PST. Battery was instrumental in laying the foundations for PST when the platform was established in 2016 and has continued to play a valuable role ever since. Following AEA’s majority investment in 2020, we have strengthened our presence in North America and established PST as a global, scaled market leader that is well positioned for long-term growth,” said Mr. Markin. “We chose AEA as a partner in 2020 because of their deep experience and proven success in the industrial technology sector, and we are proud of the milestones we have reached together.”
“We are proud of the growth PST has achieved, and our successful partnership is a result of AEA’s collaborative approach, footprint across the U.S. and Europe, sector expertise, clear value creation thesis, and commitment to driving strong outcomes for our stakeholders,” said Ramzi Gedeon, a partner at AEA. “PST’s management team has successfully positioned the company as a leader in a market that is benefiting from increased demand for testing and measurement solutions as businesses seek to address rising health, safety, environmental, and regulatory requirements and drive operational efficiency and quality improvements.”
AEA Investors invests across value-added industrials, consumer, and services sectors. Founded in 1968 by the Rockefeller, Mellon, and Harriman family interests and S.G. Warburg & Co., AEA operates with a team of over 120 investment professionals with offices in New York City, Connecticut, San Francisco, London, Munich, and Shanghai.
DwyerOmega, the buyer of PST, is a portfolio company of Arcline Investment Management. Arcline first invested in Dwyer in July 2021, acquiring the company from the Clark family and senior management members. Under Arcline’s ownership, DwyerOmega completed several acquisitions, including Omega Engineering in July 2022, Automation Components in December 2023, and Miljoco Corp. in December 2023.
Today, DwyerOmega, through Indiana-based Dwyer Instruments, supplies pressure gauges, flow meters, and air quality instruments used in HVAC, water treatment, and manufacturing applications; and through Connecticut-based Omega Engineering specializes in temperature sensors, pressure transducers, and data acquisition systems that are used in the aerospace, automotive, and process industries. Other brands under DwyerOmega include ACI, Love Controls, Mercoid, WE Anderson, Proximity, and UFM.
Arcline Investment Management specializes in control investments in companies with recurring revenue models across defense and aerospace, industrial and medical technology, life sciences, and specialty materials sectors. The firm targets companies with EBITDA ranging from $10 million to $100 million and enterprise values up to $1 billion. Arcline’s third fund closed in March 2023, raising $4.5 billion in capital commitments, following its earlier $2.75 billion fund closure in January 2021.
Battery Ventures focuses on investments in technology and related markets, including software, enterprise infrastructure, healthcare IT, industrial technology, and life-science tools. The firm was founded in 1983 and maintains offices in Boston, San Francisco, Menlo Park, New York, London, and Tel Aviv.
© 2024 Private Equity Professional | November 22, 2024
