Accuride Corporation, a portfolio company of Crestview Partners, has agreed to acquire KIC, a portfolio company of Industrial Opportunity Partners. The acquisition of KIC is Accuride’s first add-on since being acquired by Crestview in November 2016.
KIC is a supplier of wheel-end components for heavy and medium-duty trucks and trailers. The company supplies brake drums, rotors, hub & drum assemblies, steel wheels and aluminum wheels to both original equipment manufacturers and aftermarket distributors. KIC designs and tests its own products and partners with contract manufacturers located throughout the world. The company is headquartered in Vancouver, WA and operates through nine distribution centers located in the United States, Canada, and Mexico (www.kic-group.com).
Accuride is a manufacturer and supplier of steel and aluminum wheels and wheel-end components to the North American and European commercial vehicle markets. Company owned brand names include Accuride, Accuride Wheel End Solutions, Gunite and Gianetti Ruote. Accuride has manufacturing facilities in the US, Canada, Mexico and Italy (www.accuridecorp.com).
“Combining the strengths of KIC and Accuride will enable us to increase competitiveness and expand into new market segments,” said Accuride President and CEO Rick Dauch. “Our similar product and technology offerings mesh well; while the combination of our complementary business models gives us greater capacity and ability to flex up and down in response to industry cycles and customer demand.”
Crestview Partners invests from $100 million to $250 million in companies with enterprise values up to $3 billion. Sectors of specific interest include energy, financial services, healthcare, industrials and media. Crestview, founded in 2004 and headquartered in New York, manages funds with over $7 billion of aggregate capital commitments (www.crestview.com).
Industrial Opportunity Partners (IOP) focuses on acquiring middle-market manufacturing and value-added distribution businesses, typically with revenues between $30 million and $350 million. The firm targets businesses with strong product, customer, and market positions and provides both management and operational resources to support sales growth and operational improvements. IOP was founded in 2005 and is headquartered in the Chicago suburb of Evanston (www.iopfund.com).
This transaction is expected to close by the end of June 2017.
© 2017 Private Equity Professional | May 1, 2017
