distributor of lubricants

Tenex Invests in Pugh

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Tenex Capital Management has made an investment in Pugh Lubricants, a distributor of nationally branded and private label lubricants.

Pugh was founded in 1947 as an Esso service station in 1947 by John Q. Pugh, Jr. Today, with the closing of the transaction with Tenex, the company will continue to be managed by the third and fourth generations of the company founder.

Pugh’s products – which include lubricants and antifreeze – are sold throughout the Carolinas, Virginia, Tennessee, and portions of Georgia, Alabama, Mississippi, and Arkansas.  The company’s customers are active in the automotive (car dealership, quick lube, tire stores, car washes), commercial (heavy equipment owners and operators), industrial, and aviation markets. Brand name products distributed by Pugh include Valvoline, Castrol, Kendall, Phillips 66, Compass, Nevastane, Eco Power, Anderol and Royco.

Pugh is headquartered in Asheboro, NC and has additional facilities in Richmond, VA; Charleston, SC; and Nashville, TN (www.pughlubricants.com).

“We are very excited about this opportunity to work with Tenex and leverage their financial and operating capabilities,” said Mike Pugh, President of Pugh. “This relationship further strengthens our position in the market and creates a foundation for future growth while allowing us to maintain our reputation for quality service earned over nearly 70 years in business.”

“We are pleased to partner with the Pugh family to support accelerated growth and expand the reach of the Pugh brand while preserving the company’s focus on best-in-class customer service,” said Mike Green, CEO of Tenex Capital Management. “We believe our teams bring highly complementary skills and share a common vision that will serve all customers, employees and shareholders well.”

Tenex Capital Management invests up to $100 million in middle-market companies in the industrial, manufacturing, and health and business services sectors. The firm has $452 million of committed capital and is based in New York (www.tenexcm.com).

Stephens Inc. (www.stephens.com) was the financial advisor to Pugh.

© 2016 Private Equity Professional

November 30, 2016

Ridgemont Acquires Jones Oil and High Tech Equipment

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J.A.M. Distributing Company, a portfolio company of Ridgemont Equity Partners acquired in December 2012, has formed a new affiliate and has signed an agreement to acquire substantially all of the assets of Jones Oil and J.B. Jones Enterprises (DBA High-Tech Equipment).

Jones Oil is a marketer and distributor of lubricants, fuel, and ancillary products to automotive shops, industrial facilities, and private and commercial vehicle fleets. Jones Oil has been family-owned and operated since 1933 and is based in Houston (www.jonesoilinc.com).

High Tech is a provider of equipment for automotive shops, fleet maintenance, and the commercial industrial market. The company was founded in 1990 in an effort to help Jones Oil’s customers with basic lubrication equipment.  Today the company is one of the largest automotive repair equipment and industrial equipment distributors in the Houston area (www.hightechequipment.com).

“J.B. Jones and his family have built a terrific pair of businesses, and we are excited to welcome the Jones Oil and High Tech teams into the J.A.M. family,” said Jack Purcell, Partner at Ridgemont Equity Partners.

J.A.M. Distributing Company is a distributor of lubricants, fuel, base stock, and ancillary products for the industrial, commercial vehicle, passenger vehicle, and marine end markets. The company operates as one of ExxonMobil’s leading US lubricant distributors.  JAM is headquartered at its main terminal in Houston with additional terminal operations in Dallas, Beaumont, Lufkin, Clute and Galveston (www.jamdistributing.com).

“This is an important step in J.A.M.’s history with Ridgemont as we continue to seek attractive organic and acquisition growth opportunities in and around the markets we serve,” said Tim Dillon, Vice President at Ridgemont Equity Partners.

Ridgemont Equity Partners (formerly Banc of America Capital Investors) focuses on middle market buyout and growth equity investments of $25 million to $100 million. The firm invests in the following sectors: basic industries and services; energy; healthcare; and telecommunications/media/technology. Ridgemont Equity Partners is headquartered in Charlotte, NC (www.ridgemontep.com).

2014 PEPD • Private Equity’s Leading News Magazine • 6-12-14