In this issue, we will briefly review all the fastener company acquisitions – a total of 30 worldwide – completed during the first six months of 2018. It is impossible to track every single fastener company transaction because many deals involving private companies are not publicly disclosed. That said, we believe the following list is the most comprehensive and detailed you will find.
On January 4, 2018, Tenex Capital Management L.P. (“Tenex”) purchased Automotive Vehicle Company, doing business as Auveco Products. Founded in 1916 and located in Cold Spring, Kentucky (near Louisville), Aveco Products distributes a broad range of fastener products to the auto body repair shop aftermarket and to the general industrial MRO market. A privately-owned company, Auveco Products sells through a network of master distributors who subsequently service hundreds of thousands of collision centers, repair shops, dealerships and general industrial manufacturers throughout North America. The Auveco Products master catalog is considered the encyclopedia of the auto body hardware industry and contains more than 20,000 SKUs and more than 800 pages. The catalog is available in print and online. Auveco Products offers customers more than 500 pre-packaged assortments (in plastic compartment boxes), along with metal storage cabinets. The company also provides retail displays, unit packaging and bulk packaging (in both bags and boxes). Auveco Products is a new platform investment for Tenex, a New York City-based private equity firm with more than $800 million of committed capital under management.
Purchase price: not available
On January 5, 2018, Threaded Fasteners Inc. purchased Bolt & Nut Inc. Founded in 1977 and located in Tampa, Florida, Bolt & Nut is a manufacturer and distributor of fasteners for construction and general industrial applications. Bolt & Nut operates from a 50,000 square foot manufacturing and warehouse facility and employs 21 people. Founded in 1979 and headquartered in Crichton, Alabama (outside Mobile), Threaded Fasteners is a manufacturer and distributor of steel fasteners for electric utility tower, highway structure, metal building, chemical processing, commercial marine and general industrial applications. An employee-owned company since 2012, Threaded Fasteners operates seven branches located in: Semmes, Alabama; Pensacola, Florida; Panama City, Florida; Tampa, Florida; Gulfport, Mississippi; Chattanooga, Tennessee; and Tulsa, Oklahoma. The company has an aggregate of more than 232,000 square feet of manufacturing and warehouse space and employs more than 160 people. Following the transaction closing, the Tampa branch of Threaded Fasteners was consolidated into the nearby Bolt & Nut facility.
Purchase price: not available
On January 12, 2018. Fairmont Supply Company (“Fairmont”) purchased THB Inc. Founded in 1986 and headquartered in Salt Lake City, Utah, THB is a distributor of production fasteners supplying a diverse customer base including automotive, high pressure valves, fitness equipment and medical devices. In addition to a full line of fastener products, THB provides customers with customized packaging, kitting and light assembly services. The company offers more than 100,000 SKUs and maintains a branch warehouse in Boise, Idaho. Founded in 1921 and headquartered in Washington, Pennsylvania, Fairmont is a full-line distributor of industrial MRO supplies serving customers across the United States. Fairmont is ranked number 49 on Industrial Distribution’s Big 50 List of industrial suppliers. The company operates 17 distribution centers, along with on-site store locations serving more than 5,000 active customer accounts. The company offers more than 200,000 SKUs and differentiates itself by serving as a one-stop shop for customers’ industrial MRO requirements and creating tailored programs for customers’ needs. Following the transaction closing, THB expanded its product offering to include a full-line of industrial MRO supplies. Fairmont is a portfolio company of Tenex Capital Management L.P., a New York City-based private equity firm with $800 million under management.
Purchase price: not available
On January 29, 2018, NEFCO Corporation purchased Contractors & Industrial Supply Inc. (“CIS”). Founded in 1984 and headquartered in Roanoke, Virginia, CIS is a full-service distributor of mechanical, electrical and plumbing supplies to commercial construction contractors. The CIS product range includes fasteners, mechanical supports & struts, anchoring systems, hand & power tools, pipe fabrication tools and power systems, which are delivered to jobsites in a timely fashion. CIS has two branches located in Harrisonburg, Virginia and Greensboro, North Carolina. Founded in 1981 and headquartered in Hartford, Connecticut, NEFCO is a value-added stocking distributor of electrical, mechanical, HVAC and sprinkler products. The company provides its commercial contractor customers with just-in-time jobsite delivery, along with equipment rental, tool repair and engineering services. A privately-owned company, NEFCO operates seven distribution centers in: Boston, Hartford, Albany, New York City, Philadelphia, Washington and Fort Lauderdale. The CIS acquisition expands NEFCO’s growing footprint and product solutions offering to construction contractors up and down the East Coast.
Purchase price: not available
On January 30, 2018, Monroe Engineering Holdings LLC (“Monroe”) purchased Spangle Fasteners Inc. Founded in 1974 and located in Fort Wayne, Indiana, Spangle Fasteners is a distributor of fasteners, Class C parts and industrial supplies to general industrial customers. Spangle Fasteners carries a full range of fastener products and focuses primarily on the OEM requirements of industrial customers within a 100 mile radius of Fort Wayne. The company’s products are used in the manufacture of commercial garage doors, agricultural pumps, equipment trailers and many more. Established in 2011 and headquartered in Rochester Hills, Michigan, Monroe is comprised of three operating divisions: Monroe Hinge & Hardware; Monroe Aerospace; and Monroe Seals. Monroe is a portfolio company of Shoreview Industries LLC (“Shoreview”), a Minneapolis, Minnesota-based private equity firm with $900 million of committed capital under management. Shoreview completed the purchase of Monroe just 60 days prior to completing the Spangle Fasteners add-on acquisition.
Purchase price: not available
On February 2, 2018, Etanco S.A.S. purchased the Inert Technology Fixing division (“IT-Fixing”) of SIT-AB Sàrl. Founded in 1999 and located in Alsace, France, IT-Fixing is a developer and manufacturer of unique insulation fasteners used to attach heavy metal structures (staircases, balconies, access ramps, etc.) to the facade of a building. IT-Fixing fasteners utilize resin reinforced with fiberglass – along with an injected expansive foam – to reduce thermal bridges and ensure airtightness. Founded in 1952 and headquartered outside Paris, Etanco develops, manufactures and distributes specialty fasteners for the commercial construction market. The company offers more than 80,000 SKUs focused primarily on three construction applications: the building envelope, the building structure and the building interior. Etanco operates five production sites in France (3), Italy and Poland, along with six commercial offices in Germany, Belgium, the United Kingdom, Czech Republic, Poland and Romania. The company generates annual net sales of approximately €195 million and employs 787 people. Etanco is a portfolio company of 3i Group plc, a London-based private equity firm with £3.4 billion of assets under management. 3i Group shares are traded on the London Stock Exchange (III.L).
Purchase price: not available
On February 16, 2018, Colony Hardware Corporation purchased Allied Fastener & Tool Inc. (“Allied”). Founded in 1982 and headquartered in Lake Worth, Florida, Allied is a retailer of professional fastening systems, power tools and hundreds of other construction products. Allied supplies construction contractors with numerous branded product lines including DeWalt, Hitachi, Milwaukee, Senco, Powers and many more. The company has three branches in Orlando, Sarasota and Port St. Lucie, Florida. Founded in 1988 and headquartered in Orange, Connecticut, Colony Hardware is a regional distributor of fasteners, power & hand tools, safety equipment and consumable MRO supplies for commercial construction and general industrial customers. The company provides jobsite delivery services, along with equipment & power tool rental and repair services. Colony Hardware operates 20 stores / warehouses in Michigan (7), New York (3), Illinois (2); Ohio (2), Connecticut, Massachusetts, Rhode Island, New Jersey, Pennsylvania and Maryland. Colony Hardware is a portfolio company of Tailwind Capital Group LLC a New York-City-based private equity firm with more than $3 billion of committed capital under management.
Purchase price: not available
On February 28, 2018, Consolidated Aerospace Manufacturing LLC (“CAM”) purchased Moeller Mfg. & Supply Inc. (“Moeller”). Founded in 1978 and located in Costa Mesa, California, Moeller is a manufacturer of washers spacers and shims for the commercial aerospace and defense markets. The company serves as a stocking manufacturer, maintaining more than 16,000 SKUs of in-stock inventory including NAS, AN, MS and BAC washers. Moeller supplies most of the premier aerospace OEMs including Boeing, Honeywell, Spirit AeroSystems, Lockheed Martin, Northrop Grumman and Bombardier. Established in 2012, CAM is the holding company for five companies which manufacture fasteners, fittings and hardware, predominantly for the aerospace market. The companies are: Aerofit LLC (fluid fittings); 3V Fasteners Company Inc. (externally-threaded fasteners); Bristol Industries Inc. (nuts & gang channels); QRP Inc. (quick release pins, latches and accessories); and Voss Industries Inc. (coupling devices, bulge-formed ducting components and fabricated subassemblies). CAM is a portfolio company of Tinicum Inc., a New York City-based private equity firm with $1.6 billion of committed capital under management.
Purchase price: not available
On March 1, 2018, Reliance Steel & Aluminum Co. (“Reliance”) purchased Dubose National Energy Services Inc. (“Dubose Energy”) and Dubose National Energy Fasteners & Machined Parts Inc. (“Dubose Fasteners”). Dubose Energy was founded in 1990 and is located in Clinton, North Carolina. Dubose Fasteners was founded in 2010 and is located in Cleveland, Ohio. Referred to collectively as “Dubose”, the companies manufacture and distribute products for the nuclear power industry including utilities, component manufacturers and contractors. Dubose manufactures nuclear-grade bolts, nuts, studs and washers, along with fittings, forgings, fabrications and custom machined parts. The companies also stock nuclear-certified bar, plate and structural parts, including Unistrut® metal framing system products. The combined companies recorded net sales of $36.3 million in the fiscal year ended June 30, 2017. Founded in 1939 and headquartered in Los Angeles, Reliance is the largest metals service center company in North America. Reliance provides value-added metals processing services and distributes more than 100,000 metal products to more than 125,000 customers. The company operates more than 300 locations in the United States and twelve other countries. Reliance shares are traded on the New York Stock Exchange (NYSE: RS).
Purchase price: not available
On March 1, 2018, G.L. Huyett Company purchased the HANDI-CHEK business unit of ITW Shakeproof Industrial Products (“ITW Shakeproof”). HANDI-CHEK was founded in the 1970’s and is one of the best known packaged fastener brands. The brand originally catered to farm and ranch stores in the upper Midwest. The business was eventually acquired by ITW Shakeproof and is marketed to the industrial supply sector. HANDI-CHEK kits are now sold by many of the fastener industry’s leading catalog distributors. Founded in 1906 and located in Minneapolis, Kansas, G.L. Huyett is a master distributor specializing in non-threaded fasteners and grease fittings. The company supplies the industrial distributor market and its product range includes bearing lock nuts, Belleville washers, crescent rings, housing rings, snap rings, cotter pins and many more. Following the transaction closing, G.L. Huyett plans to convert its existing packaged goods lines over to the HANDI-CHEK brand. Furthermore, the operations of HANDI-CHEK were relocated to G.L. Huyett’s 65,000 square foot headquarters.
Purchase price: not available
On March 2, 2018, EDSCO Fasteners Inc. (“EDSCO”) purchased Tower Support Services Inc. (“TSS”). Founded in 2011 and located in McKenzie, Tennessee, TSS is a manufacturer and distributor of foundation anchoring systems for critical infrastructure installations including power transmission, cellular, wind energy and lighting towers. TSS operates the only fully integrated anchor bolt facility in the United States and is located near a rebar mill to minimize freight costs. Founded in 1985 and headquartered in Denton, Texas, EDSCO is a manufacturer of foundation anchor bolts and engineered foundation cages for critical infrastructure applications. The company’s systems are predominantly embedded in a concrete foundation upon which a large steel structure such as a power transmission pole, pedestrian bridge or a large sign structure pole can be securely attached. In addition to its flagship operation in Denton, EDSCO maintains fabrication and warehouse facilities in Harrisburg, North Carolina and Spanish Fork, Utah. EDSCO is a portfolio company of LMF Capital LLC, a Nashville, Tennessee-based private equity firm with $100 million of committed capital under management
Purchase price: not available
On March 2, 2018, Red Hawk Fasteners LLC (“Red Hawk”) purchased the composite fasteners business assets (the “Composite Fastener Division”) of Kyocera Senco Industrial Tools Inc. (“Kyocera Senco”). The Composite Fastener Division develops and distributes composite staples and nails for the timber processing, woodworking, millwork, composite fabricating and wood boat building industries. Composite fasteners are made from a blend of fiberglass and resin that can be sanded, shaped and cut without damage to saw blades, sanding belts, router bits and mold knives. Composite fasteners are metal-free so rust and corrosion are eliminated and their mechanical properties can be engineered for specific application requirements. Founded in 2016 and located in Greensboro, North Carolina, Red Hawk develops and distributes composite staples, nails and brads for timber processing, woodworking, millwork and a range of other applications. Red Hawk sells composite fasteners, along with a range of staplers and nailers, through a nationwide network of authorized distributors.
Purchase price: not available
On March 23, 2018, Agrisolutions Corporation purchased Trinity Logistics Corporation (“Trinity”). Founded in 2003 and headquartered in Davenport, Iowa, Trinity is a distributor of fasteners and Class C components specializing in providing customers with advanced supply chain management solutions. Trinity offers vendor managed inventory (VMI) programs, custom packaging, kitting and light assembly services to OEM customers primarily in the farm equipment and general industrial sectors. The company operates nine distribution centers in Wisconsin (2), Iowa (2), North Dakota, Minnesota, Illinois, Kansas and Georgia, with a total of more than 350,000 square feet of warehouse space. Established in 2014 and headquartered in Hamilton, Ontario, Agrisolutions is a global developer and manufacturer of wearable components and accessories for farm equipment manufacturers and agricultural aftermarket suppliers. Through its Bellota, Ingersoll and Rozalma brands, the company produces a broad range of product solutions for tillage, seeding, planting and fertilizing. Agrisolutions operates six manufacturing plants in Spain (2), Canada, the United States, Brazil and India. The company markets its products worldwide including in China, Russia and the Ukraine.
Purchase price: not available
On April 2, 2018, Endries International Inc. (“Endries”) purchased Branam Fastener Systems Inc. (“Branam”). Founded in 1986 and located in Cleveland, Ohio, Branam is a value-added distributor of fasteners and Class C parts to the OEM and distribution markets. The company provides its general industrial customers with advanced supply chain management solutions. Branam has particular expertise in the stud welding product category and these products are sold to end-users and other distributors. Founded in 1970 and headquartered in Brillion, Wisconsin, Endries is a distributor of fasteners and Class C parts, specializing in providing customers with advanced supply chain management solutions. The company provides its customers with robust bin-stocking programs including automatic electronic ordering based on RFID technology. In addition to the Wisconsin flagship location, Endries operates eight distribution centers in the United States (6), Canada and Mexico. The company employs approximately 700 people and generates annual net sales of around $250 million. Endries is a portfolio company of Nautic Partners LLC, a Providence, Rhode Island-based private equity firm with $3.3 billion of committed capital under management.
Purchase price: not available
On April 2, 2018, Stanley Black & Decker Inc. (“Stanley”) purchased Nelson Fastener Systems (“Nelson”). Founded in 1939 and headquartered in Elyria, Ohio, Nelson is a diversified manufacturer of fasteners for the automotive, truck, power generation, heavy equipment, aerospace and general industrial markets. Formerly known as Doncasters Fastener Systems, Nelson is comprised of seven business units: i) Nelson Stud Welding Inc.; ii) The Ferry Cap & Set Screw Company; iii) Specialty Bar Products Company; iv) Automatic Screw Machine Products Co. Inc. v) TOG Manufacturing Co. Inc.; vi) Erie Bolt Corporation; and vii) Bulldog Barrels LLC. The acquisition does not include Nelson’s automotive stud welding business. Founded in 1843 and headquartered in New Britain, Connecticut, Stanley is a global provider of hand tools, power tools, engineered fastening systems, mechanical access solutions and commercial electronic security & monitoring systems. In calendar 2017, Stanley recorded net sales of $13.0 billion and employed more than 57,000 people. Nelson will be integrated into the Stanley Engineered Fastening division. The seller of Nelson was Doncasters Group Limited, which manufactures and markets engineered components for the aerospace, industrial gas turbine, specialist automotive, petrochemical and general industrial markets.
Purchase price: $430.4 million
On April 3, 2018, Ramco Specialties Inc. (“Ramco”) purchased Copa Tool Inc. Founded in 1978 and located in South Lyon, Michigan (outside Detroit), Copa Tool is a machining company that manufactures high volume precision components for the automotive industry. The company specializes in powertrain components such as transmission tubes and fluid control mechanisms for Tier 1 automotive suppliers. Copa Tool generates annual net sales of approximately $14 million and has 45 employees. Founded in 1977 and located in Hudson, Ohio, Ramco is a Tier 1 supplier to the North American automotive industry, specializing in manufacturing internally-threaded fasteners, engineered assemblies and stampings. Ramco operates from a newly-constructed 185,000 square foot manufacturing and warehouse facility and employs 175 people. The privately-owned company generates annual net sales of approximately $100 million. With the addition of Copa Tool’s screw machining capabilities, Ramco expands its product offering to automotive customers and enhances its business model as an engineered solutions provider to the Tier 1 automotive industry.
Purchase price: not available
On April 5, 2018, Trifast plc purchased Precision Technology Supplies Limited (“PTS”). Founded in 1988 and located in East Grinstead, England, PTS is a distributor of stainless steel fasteners and precision turned parts. The company sells to other distributors and OEMs in the electronics, medical equipment, robotics, defense and petrochemical sectors. PTS operates a fully-integrated commercial website which lists more than 43,000 SKUs for sale. Based on its expertise and product depth in stainless steel and micro fasteners (along with the online store), PTS currently sell into 80 countries. PTS has 27 employees and reported net sales of £5.11 million in the 12 months ended March 31, 2017. Founded in 1973 and headquartered in Uckfield, England, Trifast is a global manufacturer and value-added distributor of industrial fasteners and Class C components. The sectors supplied by Trifast include: automotive (33% of sales), domestic appliances (22%), general industrial (19%), electronics & technology (16%) and distributors (10%). Trifast operates seven manufacturing plants and 24 distribution centers across Europe, Asia and North America. Thirty percent of Trifast’s net sales are derived from manufacturing and 70% are derived from distribution (sales of product not manufactured in-house). Trifast has approximately 13,000 employees and recorded net sales of £197.6 million in the 12 months ended March 31, 2018.
Purchase price: £11.0 million (£8.5m cash/£2.5m earn-out)
On April 20, 2018, Fastener Distribution Holdings LLC (“FDH”) purchased Blue Sky Industries Inc. (“Blue Sky”). Founded in 2010 and located in Monterrey Park, California, Blue Sky is a distributor of fasteners and Class C components to the commercial aerospace and defense markets. The company supplies parts to both OEM and MRO customers and maintains a branch warehouse in Birmingham, England. Headquartered in Marina del Rey, California, FDH is a distributor of aerospace fasteners and is comprised of two business units – Aircraft Fasteners International LLC (“AFI”) and Arlington International Aviation Products LLC (“AIAP”). Founded in 1964 and located in Marina del Rey, AFI is a stocking master distributor of aerospace nuts, threaded inserts, wire thread inserts and key-locking studs. Founded in 2002 and located in Arlington, Texas, AIAP is a full-line distributor of aerospace fasteners and consumable hardware, supplying commercial and military OEMs and their subcontractors. AIAP also provides customers with kitting and customized packaging services. FDH is a portfolio company of Audax Group, a diversified investment firm with three business platforms – private equity investments, mezzanine finance and senior debt finance. Audax Group is based in Boston, Massachusetts and manages more than $11.5 billion of committed capital.
Purchase price: not available
On April 23, 2018, MW Industries Inc. purchased LaVezzi Precision Inc. (“LaVezzi”). Founded in 1908 and located in Bloomingdale, Illinois, LaVezzi manufactures machined components for cardiovascular devices, orthopedic & dental implants, surgical drills and components for laparoscopic & surgical devices. The company specializes in machining titanium and stainless steel components for applications requiring extremely tight tolerances. LaVezzi operates from a 50,000 square foot facility and employs around 120 people. Founded in 1973 and headquartered in Rosemont, Illinois, MW Industries manufactures a diverse range of engineered mechanical components including springs, precision stampings, wire forms, threaded inserts, metal bellows, medical devices, specialty fasteners and precision machined parts. The company is comprised of 24 business units (after the LaVezzi acquisition) spread across the United States. MW Industries is a portfolio company of American Securities LLC, a New York City-based private equity firm with $23 billion of committed capital under management. American Securities purchased MW Industries just last September from another private equity firm.
Purchase price: not available
On April 27, 2018, Colony Hardware Corporation purchased Cook Iron Store Company Inc. (“Cook Iron Store”). Founded in 1907 and located in Rochester, New York, Cook Iron Store is a distributor of a full range of MRO supplies for construction and general industrial customers. The majority of the company’s customers are located within a 150 mile radius of Rochester, but the company also maintains an online store named www.heavydutystore.com. Founded in 1988 and headquartered in Orange, New York, Colony Hardware is a regional distributor of fasteners, power & hand tools, safety equipment and consumable supplies for the commercial construction and general industrial markets. The company provides jobsite delivery services, along with equipment and power tool rental and repair services. With the addition of Cook Iron Store, Colony Hardware now has 25 stores / warehouses in eleven states. Colony Hardware is a portfolio company of Tailwind Capital Group LLC a New York-City-based private equity firm with more than $3 billion of committed capital under management.
Purchase price: not available
On April 30, 2018, MSC Industrial Supply Co. (“MSC Industrial”) purchased All Integrated Solutions Inc. (“All Integrated”). Founded in 1962 and headquartered in Franksville, Wisconsin, All Integrated is a distributor of fasteners, Class C parts and general industrial supplies. The company specializes in providing customers with advanced supply chain management solutions. All Integrated supplies a diverse range of OEM and MRO customers and operates eight warehouses located in Wisconsin (2), Michigan (2), Minnesota, Iowa, Indiana and North Dakota. The company recorded net sales of $66 million in calendar 2017 and employs 135 people. Founded in 1941 and headquartered in Melville, New York, MSC Industrial is a direct marketer and distributor of a broad range of metalworking and MRO supplies. The company operates through a network of twelve customer fulfillment centers (8 in the United States, 3 in Canada and 1 in the United Kingdom) and 100 branch offices (99 in the US and 1 in the UK). In the 12 months ended September 2, 2017, MSC Industrial recorded net sales of $2.9 billion and employs more than 6,500 employees. The seller of All Integrated was High Road Capital Partners LLC, a New York City-based private equity firm with $470 million of committed capital under management.
Purchase price: $86 million
On April 30, 2018, Colony Hardware Corporation purchased Brinker Brown Fastener & Supply Inc. (“Brinker Brown”). Founded in 1985 and located in Fort Myers, Florida, Brinker Brown is a distributor of fasteners, power & hand tools, generators and a broad range of brand name construction supplies and equipment. The company’s customer base consists primarily of commercial construction contractors, along with the mechanical, electrical, roofing and plumbing trades. Brinker Brown maintains a 30,000 square foot store / warehouse in Fort Myers and a branch located in Naples. Founded in 1988 and headquartered in Orange, New York, Colony Hardware is a fast-growing distributor of fasteners, power & hand tools, safety equipment and consumable supplies for commercial construction and general industrial customers. The company specializes in just-in-time jobsite delivery, along with equipment and power tool rental and repair services. Brinker Brown is Colony Hardware’s third acquisition this year and the company now has 27 stores / warehouses in eleven states. Colony Hardware is a portfolio company of Tailwind Capital Group LLC a New York-City-based private equity firm with more than $3 billion of committed capital under management.
Purchase price: not available
On June 4, 2018, Ideal Tridon Holdings Inc. (“Ideal-Tridon”) purchased Clamp S.r.l. Founded in 1983 and headquartered in Milan, Italy, Clamp is a manufacturer and distributor of clamps, clips and cabling products for the industrial market in Europe. Clamp began as a distributor and in 1997 it began developing and manufacturing its own products in a factory outside Milan. Today approximately 40% of net sales are derived from its own manufacturing plant and the company employs approximately 30 people. Founded in 1913 and headquartered in Smyrna, Tennessee, Ideal-Tridon is a designer and manufacturer of specialty clamps, couplings and strapping. The company’s diverse product range is utilized by the automotive, heavy truck, petroleum, chemical, marine, plumbing, irrigation and general industrial sectors. Ideal-Tridon’s fastening and sealing products are manufactured and distributed globally, with ten facilities in the United States (4), Mexico (2), Poland, India, Japan and China. Ideal-Tridon is a portfolio company of Snow Phipps Group LLC, a New York City-based private equity firm with $2.4 billion of committed capital under management.
Purchase price: not available
On June 7, 2018, Vimi Fasteners S.p.A. purchased M.F. Inox S.r.l. Founded in 1992 and located in Albese con Cassano, Italy, M.F. Inox is a manufacturer of hot-forged and machined bolts, nuts, eyebolts and fittings produced from stainless steel and “exotic” high nickel alloys. The company’s fasteners are used for oil & gas refining, chemical processing, shipbuilding, pumps & valves, energy production and infrastructure projects. In the 12 months ended December 31, 2017, M.F. Inox recorded net sales of €6.4 million and employed 20 people. Approximately 67% of the company’s sales are to customers outside Italy. Founded in 1967 and located in Novellara, Italy, Vimi Fasteners manufactures externally-threaded fasteners predominantly for automotive, heavy truck, agricultural equipment, marine and general industrial applications. The company specializes in critical applications such as engine bolts, manifold bolts, powertrain components and braking systems. Vimi Fasteners generated net sales of €43.4 million in calendar 2017 and employs approximately 190 people. A privately-owned company, Vimi Fasteners shares were listed on the Italian Stock Exchange (Borsa Italiana) on August 2, 2018 (symbol: VIM.MI).
Purchase price: not available
On June 11, 2018, Dormole Limited purchased Tucks O’Brien Ltd. and its sister company, Tucks Fasteners & Fixings Ltd. (referred to collectively as “Tucks”). Founded in 1877 and located in Dublin, Ireland, Tucks O’Brien is a distributor of hand tools, power tools and general MRO supplies. The company is an authorized distributor for Makita, Stanley, Irwin, Bahco and other premier power tool manufacturers. Founded in 1979 and also located in Dublin, Tucks Fasteners is an independent wholesale distributor of packaged fasteners, along with a range of consumable hardware and supplies for end-users and distributors. Both companies supply customers across Ireland, including general construction, electrical wholesalers and hardware retailers. Founded in 1974 and headquartered in Kent, England, Dormole is a privately-owned holding company for six companies in England and France. Those companies are: i) Toolbank Ltd. (tooling distribution); ii) Home Hardware Distribution Ltd. (hardware distribution); iii) BIZ Power Tool Ltd. (power tool distribution); iv) Olympia Tools Ltd. (hand tool and workwear distribution); v) Forgefix Ltd. (fastener distribution); and vi) Denuziére S.A.S. (tool manufacturer and distributor in Lyon, France).
Purchase price: not available
On June 15, 2018, Optimas OE Solutions LLC (“Optimas”) purchased Circle Bolt & Nut Co. Inc. (“Circle Bolt”). Founded in 1979 and headquartered in Kingston, Pennsylvania, Circle Bolt is a distributor of fasteners and Class C components. The company offers customized vendor managed inventory (VMI) programs, along with custom packaging, light assembly and engineering / technical support. Circle Bolt operates seven full-service branches in: Atlanta, Georgia; Charlotte, NC; Tupelo, Mississippi; Bristol, Indiana; Oklahoma City, Oklahoma; Phoenix, Arizona; and Portland, Oregon. The company supplies both OEM and MRO accounts. Optimas was formed in July 2015 when American Industrial Partners L.P. (“AIP”), a New York City-based private equity firm, purchased the Anixter Fasteners division of Anixter International Inc. (NYSE: AXE) and changed the name to Optimas. Headquartered in Glenview, Illinois, Optimas is a manufacturer and distributor of fasteners and Class C components. The company specializes in providing advanced supply chain management services to customers in the automotive, heavy truck, agricultural machinery, recreational vehicle and power generation industries. Optimas operates 60 distribution service centers in 16 countries and employs more than 1,600 people. Optimas generates annual net sales of approximately $885 million and is still owned by AIP.
Purchase price: not available
On June 25, 2018, Automotive Vehicle Company, doing business as Auveco Products, purchased Marli Manufacturing Inc. (“Marli”). Founded in 1980 and located in Binghamton, New York, Marli is a distributor of fasteners and mechanical components to the North American automotive aftermarket. The company’s product range includes engine head bolts, intake manifold bolts, exhaust hardware, pipe plugs, oil drain plugs & gaskets and many more. Marli supplies more than 1,000 aftermarket components to distributors, engine remanufacturers and quick lube chains across the country. Founded in 1916 and located in Cold Spring, Kentucky, Auveco Products distributes a broad range of fastener products to the auto body repair aftermarket and to the general industrial MRO market. Aveco Products sells through a network of master distributors who subsequently service hundreds of thousands of collision centers, repair shops and dealerships. The acquisition of Marli expands Auveco Products’ product range and expands its customer base into engine remanufacturers and quick lube centers. Auveco Products is a portfolio company of Tenex Capital Management L.P., which purchased the company in January of this year.
Purchase price: not available
On June 27, 2018, Ideal Tridon Holdings Inc. (“Ideal-Tridon”) purchased Campbell Fittings Inc. Founded in 1957 and headquartered in Boyertown, Pennsylvania, Campbell Fittings develops and manufactures fittings, couplings and clamps for the industrial hose connection market. The company’s broad product range is used for applications such as air, steam, petrochemical, chemical processing and well water. Campbell Fittings sells to both distributors and end-users (OEMs). The company has a distribution warehouse in Houston, Texas. Founded in 1913 and headquartered in Smyrna, Tennessee, Ideal-Tridon is a designer and manufacturer of specialty clamps, couplings and strapping. The company’s diverse product range is used by the automotive, heavy truck, petroleum, chemical, plumbing, irrigation and general industrial sectors. Ideal-Tridon’s fastening and sealing products are manufactured and distributed globally with ten facilities in the United States (4), Mexico (2), Poland, India, Japan and China. Ideal-Tridon is a portfolio company of Snow Phipps Group LLC, a New York City-based private equity firm with $2.4 billion of assets under management.
Purchase price: not available
On June 27, 2018, Intermediate Capital Group Inc. (“ICG”) purchased Etanco S.A.S. Founded in 1952 and headquartered outside Paris, Etanco designs, manufactures and distributes specialty fasteners for the commercial construction market. The company offers more than 80,000 SKUs focused primarily on three construction applications: i) the building envelope (roofing, waterproofing, cladding and facade); ii) the building structure (anchors, chemical adhesives and wood solutions); and iii) the building interior (anchors, chemical adhesives and electrical solutions). Etanco operates five production sites in France (3), Italy and Poland and maintains six sales offices in Germany, Belgium, the United Kingdom, Czech Republic, Poland and Romania. In calendar 2017, Etanco recorded net sales of €195 million and EBITDA of €35 million. Sixty percent of net sales are to customers in France, with the balance exported to more than 20 countries across Europe. Founded in 1989 and headquartered in London, ICG is a diversified asset manager with €32.9 billion of assets in third party funds and proprietary capital. ICG made an equity and mezzanine debt investment in Etanco, along with senior management. ICG is listed on the London Stock Exchange (ICP.L).
Purchase price: €400 million
On June 29, 2018, Primary Capital Partners LLP (“Primary Capital”) purchased VJ Technology Limited (“VJT”). Founded in 1995 and located in Ashford, England, VJT is a distributor of fasteners and consumable supplies to the commercial construction and civil engineering markets. The company stocks more than 13,000 SKUs and specializes in providing jobsite delivery and technical / engineering support to customers. In the 12 months ended December 31, 2017, VJT generated net sales of £31.0 million and EBITDA of £4.1 million. Primary Capital is a private equity firm which invests in growing companies alongside entrepreneurial management teams. Primary Capital has offices in London and Manchester, England and typically invests in companies with enterprise values between £20 million and £100 million. The seller of VJT was SIG plc, a building products distributor specializing in three core product areas: insulation products, roofing products and non-residential interior products (ceilings, partitions, dry lining, floor coverings, etc.). SIG recorded calendar 2017 net sales of £2.9 billion and its shares are traded on the London Stock Exchange (SHI.L).
Purchase price: £29.7 million
About the Author: RICHARD P. HAGAN
Richard P. Hagan is the president of Pinnacle Capital Corporation, a boutique investment banking firm which specializes in providing merger & acquisition advisory services to the global fastener industry. Since its founding in 1993, Pinnacle has provided expert guidance and assistance to a broad range of fastener company clients – large and small, manufacturers and distributors, publicly-traded and privately-owned – in numerous countries around the world. The majority of the projects undertaken by Pinnacle are sale / divestiture assign-ments. The firm also provides expert advice and assistance with acquisitions, strategic investments, joint venture partnerships, debt & equity financings, business valuations and fairness opinions.
Hagan has more than twenty-six years of international investment banking experience and has worked on a broad range of successful domestic and cross-border M&A transactions, corporate restructurings and capital raisings. Prior to founding Pinnacle, Hagan managed the New York operations of a publicly-traded Australian investment bank. He began his career in the fund management field in 1985 after earning a B.A. in Economics from the University of North Carolina at Chapel Hill and an M.B.A. in Finance from Fordham University in New York City.
Content Provided By Distributors Link Magazine – FALL 2018 ISSUE
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