The insulation roll-up continues for Distribution International, a portfolio company of Audax Private Equity and The CapStreet Group, as the company has completed the acquisitions of two new insulation distribution companies with the buys of Insulation Services and Mid-Tex Distribution Company.
Distribution International (DI) was first acquired by the two private equity firms in August 2010. Earlier this year DI completed the acquisitions of Midwest Sales, a distributor of industrial and commercial insulation products based in Saginaw, MI; and GlassCell Isofab, a distributor of insulation products based in Toronto.
The latest acquisitions include Insulation Services (ISI), a single-site distributor of thermal and acoustic insulation products based in Greenville, SC (no website found); and Mid-Tex Distribution Company, a distributor of thermal and acoustical insulation products based in San Antonio, TX (www.midtexdis.com).
“Our recent asset purchase of ISI further strengthens our position in the South Carolina market. We welcome Randy Spencer who brings us over 20 years of knowledge in the mechanical insulation industry as well as strong relationships with customers and vendors. Everyone at DI is looking forward to working with Randy and we welcome the opportunity to service ISI’s loyal customer base,” said Robert Hlavenka, Vice President and General Manager of Distribution International USA.
Distribution International is a distributor of insulation, related specialty fabricated products, and safety supplies to the industrial, commercial, and marine end markets. With the completion of this acquisition, the company serves industrial, commercial and marine customers from distribution centers in Texas, Louisiana, Mississippi, Alabama, Arkansas, Tennessee, Kentucky, Missouri, Michigan, South Carolina, North Carolina, Virginia, Maryland, New York, and New Jersey in the United States, as well as British Columbia, Alberta, Ontario, Quebec, and Nova Scotia in Canada. Distribution International is headquartered in Houston (www.distributionintl.com).
The Audax Group makes control investments of $10 million to $100 million in middle market companies with transaction values of $25 million to $500 million. Sectors of interest include industrial manufacturing; energy; outsourced industrial services; consumer products; healthcare devices and services; non-asset based logistics; technology; aerospace & defense; business services; and direct marketing. The firm was founded in 1999 and has offices in Boston and New York (www.audaxgroup.com).
CapStreet invests in companies with EBITDAs between $5 million and $15 million that are located in Texas and other Sunbelt states. Since founding in 1990, CapStreet has raised approximately $700 million of private equity, completed 35 portfolio company investments and completed more than 250 add-on acquisitions. The firm is based in Houston (www.capstreet.com).
© 2013 PEPD • Private Equity’s Leading News Magazine • 8-28-13
