M&A Deal Summary

American Industrial Partners and HSBC Capital Acquire Brooks Instrument

On December 31, 2007, private equity firm American Industrial Partners and HSBC Capital acquired test/measurement equipment company Brooks Instrument from Emerson for 100M USD

Acquisition Highlights
  • This is American Industrial Partners’ 2nd and HSBC Capital’s 1st transaction in the Test/Measurement Equipment sector.
  • This is American Industrial Partners’ 10th and HSBC Capital’s 3rd largest (disclosed) transaction.
  • This is American Industrial Partners’ 8th and HSBC Capital’s 18th transaction in the United States.
  • This is American Industrial Partners’ 1st and HSBC Capital’s 1st transaction in Pennsylvania.
Investment Fate
  • Brooks Instrument was sold to a publicly-traded strategic buyer in 2012.

M&A Deal Summary

Date 2007-12-31
Target Brooks Instrument
Sector Test/Measurement Equipment
Buyer(s) American Industrial Partners
HSBC Capital
Sellers(s) Emerson
Deal Type Divestiture
Deal Value 100M USD

Target

Brooks Instrument

Hatfield, Pennsylvania, United States
Brooks provides flow measurement and control devices to the low flow application market, and principally serves the chemical and semiconductor industries.

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Buyer(S) 2

Buyer

American Industrial Partners

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1989
PE ASSETS 10.0B USD
Size Mega
Type Sector Focused
DESCRIPTION

American Industrial Partners is a private equity firm focused on investments in North American manufacturing or industrial service companies. For platform acquisitions, the Firm seeks businesses with at least $500 million of revenue and the Firm will consider transactions valued up to $2 billion. Operating characteristics of prospective businesses include historical record of strong free cash flows, opportunities to drive value through operating enhancements, and sustainable competitive advantages. American Industrial Partners will consider a variety of transaction types including leveraged buyouts, structured equity investments, bridge financings, senior debt, carve-outs, take privates, turnarounds, and rescue financings. American Industrial Partners was formed in 1989 and is based in New York City.


DEAL STATS #
Overall 8 of 55
Sector: Test/Measurement Equipment M&A 2 of 2
Type: Divestiture M&A Deals 1 of 21
State: Pennsylvania M&A 1 of 3
Country: United States M&A 8 of 47
Year: 2007 M&A 2 of 2
Size (of disclosed) 10 of 11
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2007-04-05 Micro-Poise Measurement Systems

Akron, Ohio, United States

Micro-Poise Measurement Systems, LLC ('Micro-Poise') is a leading global provider of measurement and inspection systems and associated aftermarket parts and service for the global tire industry. The company also designs and manufactures precision measurement equipment for certain automotive applications. Micro-Poise's systems are used by manufacturers for process control and quality assurance to assess and correct the balance, uniformity, and geometry of tires, wheels, and powertrain components. Micro-Poise's products are used by customers including Michelin, Pirelli, Hankook Tire, Nissan, and Hyundai. Micro-Poise is headquartered in Akron, OH, with sales offices in Western Europe and Asia along with a wholly owned foreign subsidiary in China.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2008-01-01 MECS

St. Louis, Missouri, United States

MECS, Inc. is a provider of proprietary process technology, specialty products and technical services to the global sulfuric acid industry which serves the agricultural (phosphate fertilizer), energy (oil refinery), non-ferrous metallurgical and chemical process markets.

Sell -
Buyer

HSBC Capital

New York, New York, United States

Category Private Equity Firm
Founded 1991
PE ASSETS 1.6B USD
Size Large
Type Sector Agnostic
DESCRIPTION

HSBC Capital (North America) the US and Canada principal investments arm of HSBC. HSBC Capital consists of HSBC Capital Canada and HSBC Capital USA. The Group focuses on making private equity and mezzanine investments in profitable, mid-market companies and select real estate transactions. The Group will consider both control and minority positions. Investment proceeds are generally used to support buyouts, expansion financings, recapitalizations, and real estate acquisitions. In addition to targeting US based opportunities, the Group will also consider investments in Latin America. Broad sectors of interest include manufacturing, service, and distribution. HSBC Capital was formed in 1991 and is based in New York City, HSBC Capital has become Graycliff partners on Dec 2011.


DEAL STATS #
Overall 19 of 24
Sector: Test/Measurement Equipment M&A 1 of 1
Type: Divestiture M&A Deals 2 of 3
State: Pennsylvania M&A 1 of 1
Country: United States M&A 18 of 23
Year: 2007 M&A 8 of 8
Size (of disclosed) 3 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2007-11-29 Axcan Pharmaceuticals

Mont-Saint-Hilaire, Quebec, Canada

Specialty pharmaceutical company focused on development and commercialization of drugs for diseases of the digestive system.

Buy $1.3B
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2008-03-03 QPS

Newark, Delaware, United States

QPS provides GLP/GCP-compliant preclinical and clinical research services to pharmaceutical and biotechnology clients worldwide in the areas of Bioanalysis, Drug Metabolism and Pharmacokinetics, Toxicology, Translational Medicine, and Clinical Research. QPS was established in 1995 and is based in Newark, Delaware.

Buy -

Seller(S) 1

SELLER

Emerson

St. Louis, Missouri, United States

Category Company
Founded 1890
Sector Diversified
Employees73,000
Revenue 17.5B USD (2024)
DESCRIPTION
Emerson Electric's corporate headquarters in St. Louis, Missouri.
Emerson Electric's corporate headquarters in St. Louis, Missouri.

Emerson is a diversified manufacturing and technology company. Emerson offers a wide range of products and services in the industrial, commercial, and consumer markets through its Process Management, Industrial Automation, Network Power, Climate Technologies, and Commercial & Residential Solutions businesses. Emerson was founded in 1890 and is based in St. Louis, Missouri.


DEAL STATS #
Overall 8 of 27
Sector: Test/Measurement Equipment M&A 2 of 4
Type: Divestiture M&A Deals 7 of 25
State: Pennsylvania M&A 2 of 3
Country: United States M&A 7 of 24
Year: 2007 M&A 1 of 1
Size (of disclosed) 8 of 9
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2007-08-14 Decision Management International

Bradenton, Florida, United States

Decision Management International, Inc. is a provider of software and associated consulting services for complexity reduction for FDA-regulated industries.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2008-01-08 The Automation Group

Houston, Texas, United States

TAG provides process automation/control system engineering, instrument and electrical design, project management services to the refining, petrochemical, chemical and coal power industries. The company is headquartered in Houston, Texas, and has branches in Corpus Christi, Texas; Bloomington, Minnesota; Concord, California; and Baton Rouge, Louisiana.

Buy -