Buyout (LBO, MBO, MBI) • Electrical Equipment

Bounds Equity Partners, Banyan Investment Partners and Boyne Capital Acquire Evolution Lighting

On June 1, 2010, private equity firm Bounds Equity Partners, mezzanine finance firm Banyan Investment Partners and private equity firm Boyne Capital acquired electrical equipment company Evolution Lighting

Acquisition Context
  • This is Bounds Equity Partners’ 1st, Banyan Investment Partners’ 1st and Boyne Capital’s 1st transaction in the Electrical Equipment sector.
  • This is Bounds Equity Partners’ 5th, Banyan Investment Partners’ 38th and Boyne Capital’s 4th transaction in the United States.
  • This is Bounds Equity Partners’ 1st, Banyan Investment Partners’ 12th and Boyne Capital’s 2nd transaction in Florida.

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M&A Deal Summary

Date June 1, 2010
Target Evolution Lighting
Sector Electrical Equipment
Buyer(s) Bounds Equity Partners
Banyan Investment Partners
Boyne Capital
Deal Type Buyout (LBO, MBO, MBI)

Target Company

Evolution Lighting

Miami, Florida, United States
Evolution Lighting is a designer, manufacturer, and distributor of lighting products in North America. Evolution products can be found at a variety of retailers including home centers, national retail chains, office superstore chains, mass merchandisers, warehouse clubs, discount department stores, and hardware stores under the trade names Catalina, Dana, VisionMax, Tensor, and Illuminate, as well as under many private brands exclusive to retailers. Evolution Lighting is based in Miami, Florida.
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Buyers Overview 3

Buyer

Bounds Equity Partners

Winnetka, Illinois, United States

Category Private Equity Firm
Founded 1988
PE ASSETS 100M USD
Size Small
Type Sector Agnostic
DESCRIPTION

Bounds Equity Partners LLC (BEP) is a private equity firm focused on smaller company investments (business with $1 million+ of EBITDA). The Firm targets growth companies with market/industry segment leadership, defensible market positions, and operating profit margin of at least 10 percent. BEP looks to invest at least $1 million per transaction and prefers situations where entrepreneurs are seeking liquidity. Target sectors include building materials and services, business services, healthcare products and services, niche distribution and specialty manufacturing. Bounds Equity Partners LLC was formed in 2009 and is based in Highland Park, Illinois.


Deal Context for Buyer #
Overall 5 of 11
Sector: Electrical Equipment 1 of 1
Type: Buyout (LBO, MBO, MBI) 4 of 9
State: Florida 1 of 1
Country: United States 5 of 11
Year: 2010 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2009-10-19 Plumbing Master Services

Riverside, California, United States

Plumbing Master Services is a provider of emergency repair plumbing services to restaurants, convenience stores and gas stations. Plumbing Master Services was founded in 1985 and is based in Riverside, California.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-03-01 Beacon Promotions

New Ulm, Minnesota, United States

Beacon Promotions is a promotional products supplier company. Beacon offers a wide selection of products, such as: calendars, table covers, drinkware, bags, housewares, tools, auto accessories, writing instruments, and over 51 Name Brand product lines for executive gifts and incentives. Beacon Promotions was founded in 2003 and is based in New Ulm, Minnesota.

Buy -
Buyer

Banyan Investment Partners

Miami, Florida, United States

Investor


Category Mezzanine Finance Firm
Founded 2002
PE ASSETS 550M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Banyan is a specialty finance firm that provides mezzanine capital to smaller middle-market companies headquartered primarily in the Southeast US. Banyan looks to invest $5 to $25 million of junior capital in profitable companies. The Firm does not have any industry preferences, however, Banyan will not invest in real estate development, oil and gas exploration, direct lenders, start-ups or turn-around situations. Banyan Mezzanine was formed in 2002 and is based in Miami, Florida.


Deal Context for Buyer #
Overall 38 of 73
Sector: Electrical Equipment 1 of 1
Type: Buyout (LBO, MBO, MBI) 7 of 28
State: Florida 12 of 18
Country: United States 38 of 72
Year: 2010 4 of 8
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-06-01 Hydrovac Industrial Services

Columbus, Mississippi, United States

Hydrovac Industrial Services is a regional provider of industrial maintenance. The Company operates throughout Alabama, Louisiana and Mississippi and serves the chemical, paper, power, refinery and steel industries

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-10-08 Discovery Outsourcing

Denver, Colorado, United States

Discovery Outsourcing, LLC is a Professional Employer Organization, handling administrative responsibility for their customer’s human resources issues, including payroll and payroll taxes, employee benefits and workers’ compensation.

Buy -
Buyer

Boyne Capital

Miami, Florida, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2006
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Boyne Capital is a Florida-based investment group focused on smaller businesses with at least $2 million in cash-flow. Boyne targets companies in the US and Canada. Sectors of interest include niche manufacturing, specialty services (IT, healthcare, financial), value-added distribution, wastewater, 'next generation' energy, and restaurants. Boyne prefers control positions and will consider a variety of transaction situation, including buyouts, recapitalizations, divestitures, add-on acquisitions, and growth financings. Boyne Capital was formed in 2006 and is based in Miami, Florida.


Deal Context for Buyer #
Overall 4 of 29
Sector: Electrical Equipment 1 of 1
Type: Buyout (LBO, MBO, MBI) 2 of 17
State: Florida 2 of 4
Country: United States 4 of 28
Year: 2010 2 of 3
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2010-04-15 Fulcrum IT Services

Centreville, Virginia, United States

Fulcrum IT Services is an information technology (IT) company that provides IT solutions and services for federal, state, local, and commercial customers. Fulcrum IT specializes in the areas of enterprise systems operations, system and application development, data management solutions, information and infrastructure assurance and intelligence analysis and methodologies.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2010-10-27 Danco Machine

Santa Clara, California, United States

Danco Machine is a provider of precision machines and assembled components primarily to the medical device and defense industries. Danco Machine was founded in 1979 and is based in Santa Clara, California.

Buy -