Evolve Capital and Praesidian Capital have acquired Meheen Manufacturing, a manufacturer of carbonated beverage bottling machines. Praesidian Capital provided $11.25 million in first lien debt and made a $500,000 equity co-investment alongside Evolve.
Meheen manufactures branded carbonated beverage bottling machines for microbreweries, brewpubs, water, tea, cider and other bottlers. Distributing internationally, Meheen’s primary product is the Merlin which utilizes computer controls to manage product pressure, filling and foaming. The company was founded in 1992 by Dave Meheen, an engineer and former brewery owner, and is based in Pasco, WA (www.meheen-mfg.com).
“We see great value in this business,” said Glenn Harrison, Partner of Praesidian Capital. “Meheen holds a strong position in the growing craft brewing industry and has partners in place to continue its growth.”
Evolve Capital specializes in leveraged recapitalizations of entrepreneurial businesses with EBITDAs between $2.5 million and $4.0 million. The firm’s investment focus is primarily on service or asset-light businesses. Evolve Capital was founded in 2005 and is based in Dallas (www.evolvecapital.com).
Praesidian Capital provides mezzanine capital to small and mid-sized businesses. The firm typically invests in connection with a management/leveraged buyout, recapitalization or refinancing. Praesidian manages over $700 million in committed capital and is based in New York (www.praesidian.com).
The investment in Meheen is the second Evolve portfolio company in which Praesidian has invested within the last year. In March 2013, Praesidian made a $22.8 million senior debt investment in Mission Critical Electronics, a manufacturer of specialized electronic products for the emergency/specialty vehicle, marine and telecommunications industries.
“Meheen Manufacturing has tremendous upside. We are glad to partner again with Praesidian on another unique transaction,” said Ryan Shultz, Partner of Evolve Capital.
© 2013 PEPD • Private Equity’s Leading News Magazine • 8-15-13
