Industrial Growth Partners (IGP) has sold IOTA Engineering to publicly-traded Acuity Brands. IGP, members of the IOTA management team, and other investors acquired the company just over a year ago in February 2017.
IOTA is a maker of back-up power supply equipment used in commercial, industrial and institutional emergency lighting applications. The company was founded in 1968 and initially focused on the development of low voltage solid state ballasts (ballasts are used to limit the amount of current in an electrical circuit). Over the years, the company expanded its manufacturing capabilities to include emergency battery packs for contemporary lighting designs, DC inverter ballasts, and AC/DC power converters and battery chargers. The company has also been active in developing technology for smart chargers for use in specialty applications and configurable smart chargers for custom specifications. IOTA is headquartered in Tucson (www.iotaengineering.com).
During IGP’s just over one year term of ownership, IOTA invested heavily to expand its engineering capabilities, research and development facilities, and sales infrastructure. “IGP’s support of IOTA as we transitioned from a family-run business to an institutionally-backed organization was essential,” said Jason Tobak, CFO of IOTA. “They were an ideal partner as we went through the process of augmenting our sales and engineering capabilities while supporting key new product initiatives. Ultimately, these actions enabled us to further solidify our status as a technology leader in our industry and position the business to capitalize on the large, growing market opportunity in our sector.”
Industrial Growth Partners invests in North American-based industrial and industrial services companies that have histories of profitability and revenues of up to $250 million. The firm is based in San Francisco (www.igpequity.com).
“The acquisition of IOTA supports the expansive smart building and lighting solutions strategy of Acuity Brands,” said Laurent Vernerey, President of the Acuity Technology Group and Executive Vice President of Acuity Brands. “IOTA’s industry-leading technology coupled with its reputation for providing superior customer service will further enhance Acuity’s market position in emergency lighting and equipment.”
Acuity Brands (NYSE: AYI) is a lighting manufacturer and building-management services provider with more than 12,000 employees and annual revenues of approximately $3.5 billion. Acuity’s products include luminaires, lighting controls, building system controllers, prismatic skylights, power supplies and integrated systems for indoor and outdoor applications in commercial, industrial, institutional, infrastructure and residential spaces. The company is headquartered in Atlanta and has operations throughout North America, Europe and Asia (www.acuitybrands.com).
© 2018 Private Equity Professional | May 4, 2018
