Morgenthaler Private Equity has acquired United Pipe & Steel Corp., a distributor of steel, copper and plastic pipe. UP&S Founder and Owner, David Cohen, will retain a substantial ownership interest and President and CEO Greg Leidner will continue to lead the company.
United Pipe & Steel is an independent master distributor of steel pipe, copper tubing, plastic pipe, electrical conduit and related products. The company currently serves wholesale distributor customers within the plumbing and heating; pipe, valve and fittings; heating, ventilation and air conditioning; waterworks and electrical supply markets. Founded in 1980, the company has nine distribution centers in the Northeast, Midwest and Southern regions of the United States and is headquartered in Ipswich, MA (www.united-pipe.com).
“We are pleased to partner with David, Greg and the entire senior management team at UP&S. Our goal is to double the company’s revenues over a five year period through organic growth initiatives and complementary add-on acquisitions,” said Joe Machado, Partner at Morgenthaler Private Equity.
Morgenthaler Private Equity invests in companies in the lower middle market that have transaction values between $25 million and $150 million and EBITDAs in excess of $5 million. Sectors of interest include high-value manufacturing and proprietary business services. The firm has offices in Cleveland and Boston (www.morgenthaler.com).
Senior debt financing was provided by Madison Capital Funding, as Administrative Agent and Joint Lead Arranger, and RBS Citizens, as Syndication Agent and Joint Lead Arranger. Northwestern Mutual Capital provided subordinated debt financing.
© 2013 PEPD • Private Equity’s Leading News Magazine • 6-18-13
