automation systems

JR Closes 4th Automation Add-on

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JR Automation, a portfolio company of Crestview Partners, has acquired Esys Automation. Crestview Partners acquired JR Automation in March 2015 from Huizenga Automation Group.

Esys Automation is a provider of automation products and services to the automotive industry. The company designs and builds robotic systems and industry-specific software that is used in vehicle assembly applications in areas such as press, powertrain, plastics, body assembly, paint, sealer, final assembly, and tire & wheel. Esys Automation, led by CEO Chris Marcus, is headquartered near Detroit in Auburn Hills, MI (www.esysautomation.com).

JR Automation is a designer and manufacturer of automated or operated assembly line equipment such as sonic welders, riveters, adhesive dispensers, vision inspectors and verifiers, leak testers, robotic palletizers, and other equipment. The company’s products are used in the automotive, aerospace and defense, life sciences, battery and energy, electronics and consumer goods, food and beverage, construction and amusement industries. JR Automation, with annual revenues of more than $570 million, has more than 2,000 employees and facilities in 23 locations in North America, Europe, and Asia. The company was founded in 1980 and is headquartered in Holland, MI (www.jrauto.com).

“We look forward to leveraging the Esys teams’ capabilities and expertise to further build out our leading-edge global automation solutions platform, with a growing focus on providing ‘Industry 4.0’ solutions to our customers,” said JR Automation Chairman and CEO Mike DuBose. “Esys’ capabilities, dedication, sense of urgency, and focus on quality for their worldwide customer base is well-aligned with the culture and strategy at JR Automation, so we anticipate a smooth transition forward.”

The buy of Esys Automation is the fourth add-on acquisition for JR Automation since being acquired by Crestview Partners. In April 2018, it acquired Ogden, UT-based sister companies Setpoint Systems, an automation engineering company that specializes in the design, build, and controls programming of custom automation products and systems, and Setpoint Inc., a designer and implementer of custom rides and attractions for amusement and theme parks. In December 2017, JR Automation acquired Doerfer Corporation’s automation systems group (comprised of Advanced Automation, Wright Industries, FSA Systemes D’Assemblage, FSA Romania, PSB Technologies and equity interests in Beijing BYJC-Fabricom Assembly Line Co., Ltd.).

Crestview invests from $100 million to $250 million in companies with enterprise values up to $3 billion. Sectors of specific interest include media, industrials, energy and financial services. The firm will invest in other industries where its relationship network and senior operating capabilities provide an advantage.  Crestview, founded in 2004 and headquartered in New York, manages funds with over $7 billion of aggregate capital commitments (www.crestview.com).

Birmingham, MI-based FINNEA Group (www.finneagroup.com) was the exclusive financial advisor to Esys Automation on this transaction.

© 2018 Private Equity Professional | June 21, 2018

Crestview Acquires Setpoint

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JR Automation, a portfolio company of Crestview Partners, has acquired Ogden, UT-based sister companies Setpoint Systems and Setpoint, Inc. Crestview acquired JR Automation in March 2015 from the Huizenga Automation Group.

JR Automation is a designer and manufacturer of automated or operated assembly line equipment such as sonic welders, riveters, adhesive dispensers, vision inspectors and verifiers, leak testers, robotic palletizers, and other equipment. The company’s products are used in the aerospace, automotive, construction, consumer products, food processing, furniture, medical, and pharmaceutical industries. JR Automation employs nearly 1,700 people at 16 manufacturing facilities in North America, Europe, and Asia. The company was founded in 1980 and is headquartered in Holland, MI (www.jrauto.com).

Setpoint Systems is an automation engineering company that specializes in the design, build, and controls programming of custom automation products and systems. The company has specific expertise in robotics, assembly equipment, material handling, testing & inspection, and induction heating automation equipment (www.setpointusa.com). Setpoint, Inc. is a designer and implementer of custom rides and attractions for amusement and theme parks (www.setpointinc.com).

“We look forward to working closely with the Setpoint businesses, leveraging their tremendous capabilities to further build out our world-class global industrial automation solutions platform,” said JR Automation Chairman and CEO Mike DuBose. “As part of JR Automation, Setpoint Systems and Setpoint Inc. will become even more effective, bringing together their history of excellence and innovation with JR Automation’s global footprint and capabilities. This is an exciting step for JR Automation, the Setpoint businesses, our customers, partners, and teams.”

Crestview invests from $100 million to $250 million in companies with enterprise values up to $3 billion. Sectors of specific interest include media, industrials, energy and financial services. The firm will invest in other industries where its relationship network and senior operating capabilities provide an advantage.  Crestview, founded in 2004 and headquartered in New York, manages funds with over $7 billion of aggregate capital commitments (www.crestview.com).

D.A. Davidson & Co. (www.dadavidson.com) was the financial advisor to both Setpoint Systems and Setpoint, Inc.

© 2018 Private Equity Professional | April 13, 2018

Falfurrias Enters Automation Sector

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Falfurrias Capital Partners has acquired E-Technologies Group (E-Tech), a provider of software and automation systems integration.

E-Tech specializes in automation, information systems, machine safety, machine and process modeling, and system simulations for a variety of customers in the consumer packaged goods, pharmaceuticals, logistics, and food and beverage industries.

The company was co-founded by Steve Veldhuis and Doug Fagaly in 1993 and is headquartered north of Cincinnati in West Chester, OH (www.etech-group.com).

“Steve and Doug have built an incredible success story at E-Tech with a robust company culture that stresses individual ownership and team performance, and the impressive breadth and balance of its service offerings position E-Tech well for future growth,” said Marc Oken, a co-founder and Managing Partner of Falfurrias Capital Partners. “We look forward to working with Steve, Doug and the rest of the team to leverage opportunities to scale the business through organic growth as well as strategic acquisitions that expand its service offerings and market reach.”

E-Tech represents the first platform investment by Falfurrias in the automation market and the firm is seeking to invest additional capital in this sector. Falfurrias’ interest is based on a perceived strong demand from domestic manufacturers in improving the ROI that automation can provide as well as other benefits including improved product quality, reliability, and workplace safety. Typical automation targets will have revenues of $10 million to $50 million.

Falfurrias makes equity investments of at least $3 million in companies with revenues in excess of $10 million and EBITDAs in excess of $2 million. Industries of interest include automation, financial services; consumer products; health care; building products; diversified manufacturing; business services; education, training, and information services; and infrastructure services.  Falfurrias was founded in 2006 by Hugh McColl Jr., former chairman and CEO of Bank of America, and Marc Oken, former CFO of Bank of America. The firm is based in Charlotte, NC (www.falfurriascapital.com).

© 2018 Private Equity Professional | February 5, 2018