One Rock Capital Partners has agreed to acquire the Engineered Components & Systems (EC&S) segment of Actuant Corporation for $214.5 million. This transaction does not include the operations of Cortland, a manufacturer of steel cables and ropes, which Actuant acquired from Cortec Group in 2008.
EC&S is a manufacturer of hydraulic positioning and motion control systems, instrumentation and displays, and other products used primarily by on and off-highway OEMs.
Customers of the company include Volvo, Scania, Honeywell, Cummins, Borg Warner, Caterpillar, Deere, FMC, Lockheed Martin and others. EC&S’ products are sold under the CrossControl, Maximatecc, Elliott Manufacturing, Gits Manufacturing, Power-Packer and Weasler Engineering brands. The company has 13 manufacturing facilities and six engineering centers and is headquartered near Milwaukee in Menomonee Falls, WI (click HERE for the EC&S webpage).
“EC&S’s innovative solutions are relied upon on by diverse end-users across the globe, and we intend to build upon the company’s strong foundation by creating a standalone business positioned for growth,” said Tony Lee, a managing partner of One Rock.
Roger Roundhouse, the current executive vice president of EC&S, will become the new chief executive officer of EC&S upon closing of the transaction which is expected during the fourth quarter of 2019. “We are pleased to partner with One Rock as EC&S enters the next phase of its evolution,” said Mr. Roundhouse. “With support from One Rock and their strategic resources, we are excited to become a standalone business dedicated to enhancing our capabilities in support of our customers worldwide.”
“In drawing upon One Rock’s significant corporate carve out experience, our goal is to expand EC&S’s service offerings and bolster its valued customer relationships,” said Scott Spielvogel, a managing partner of One Rock. “We look forward to working together with management and our operating partners to advance operational best practices and maximize the company’s potential.”
One Rock invests in companies that are active in the chemicals and process industries; specialty manufacturing and healthcare products; business and environmental services; and food manufacturing and distribution. One Rock has a strategic relationship with Mitsubishi Corporation which provides resources to One Rock and its portfolio companies. The firm was formed in 2010 by managing partners Tony Lee and Scott Spielvogel and is based in New York (www.onerockcapital.com).
Actuant Corporation (NYSE: ATU) is a diversified industrial company headquartered in Menomonee Falls, WI (www.actuant.com).
© 2019 Private Equity Professional | July 15, 2019