M&A Deal Summary

CenterGate Capital Acquires Naumann Hobbs Material Handling

On August 30, 2019, private equity firm CenterGate Capital acquired business services company Naumann Hobbs Material Handling from Graycliff Partners and HCI Equity Partners

Acquisition Highlights
  • This is CenterGate Capital’s 2nd transaction in the Business Services sector.
  • This is CenterGate Capital’s 6th transaction in the United States.
  • This is CenterGate Capital’s 1st transaction in Arizona.

M&A Deal Summary

Date 2019-08-30
Target Naumann Hobbs Material Handling
Sector Business Services
Buyer(s) CenterGate Capital
Sellers(s) Graycliff Partners
HCI Equity Partners
Deal Type Secondary Buyout

Target

Naumann Hobbs Material Handling

Phoenix, Arizona, United States
Naumann Hobbs Material Handling is a full-service material handling dealership that leases, sells, and services a variety of electric and internal combustion forklifts and other commercial products. Naumann Hobbs operates along five lines of business that work together to provide the most attractive value proposition in this sector in the southwestern United States. Naumann Hobbs Material Handling was founded in 1949 and is based in Phoenix, Arizona.

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Buyer(S) 1

Buyer
DESCRIPTION

CenterGate Capital is a private equity firm focused on improving and growing lower middle market companies. The Firm looks to partner with companies generating $20 to $250 million in revenues. Sectors of interest include business services, industrials, energy services, consumer, and healthcare services. Prospective transaction situations include buyouts, divestitures, recapitalizations, shareholder liquidity needs, and restructurings. CenterGate Capital was founded in 2014 and is based in Austin, Texas.


DEAL STATS #
Overall 6 of 15
Sector (Business Services) 2 of 5
Type (Secondary Buyout) 2 of 4
State (Arizona) 1 of 2
Country (United States) 6 of 14
Year (2019) 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2019-02-12 Mid-State Industrial Maintenance

Lakeland, Florida, United States

Mid-State Industrial Maintenance is a provider of on-site and off-site industrial maintenance and service solutions. Mid-State serves as an outsourced maintenance and repair services provider to customers in the chemical processing, phosphate mining, power generation, and building products industries throughout the southeastern United States. Mid-State Industrial Maintenance was founded in 1973 and is based in Lakeland, Florida.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2020-12-21 Soroc Technology

Woodbridge, Ontario, Canada

Soroc Technology is a full-service IT firm that provides end-to-end IT infrastructure lifecycle services, including on-site and help desk support, procurement and deployment, professional services, recruiting, and business continuity and disaster recovery services. Soroc Technology is based in Woodbridge, Ontario.

Buy -

Seller(S) 2

SELLER

Graycliff Partners

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1991
PE ASSETS 1.0B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Graycliff Partners is a private equity firm focused on private equity and mezzanine investments in middle-market companies throughout the US. The Firm's mezzanine practice does not have any sector preferences and looks to invest $10 to $50 million in profitable companies with at least $10 million in revenue. Funds are used to support buyouts, growth needs, divestitures, or consolidations. Graycliff's private equity group looks to acquire middle-market companies in the manufacturing, service, and distribution sectors. The Firm looks for businesses with $10 to $200 million of revenue. Graycliff Partners was established in 1991 and is based in New York City.


DEAL STATS #
Overall 18 of 36
Sector (Business Services) 3 of 5
Type (Secondary Buyout) 5 of 12
State (Arizona) 2 of 3
Country (United States) 15 of 33
Year (2019) 3 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2019-06-18 StrataTech Education Group

Phoenix, Arizona, United States

StrataTech Education Group is focused on the education, growth, and development of specialized career education schools, particularly skilled-trade programs designed to address the nation’s growing infrastructure needs. StrataTech Education Group is based in Phoenix, Arizona.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2019-09-10 Raptor Scientific

Berlin, Connecticut, United States

Raptor Scientific is a manufacturer of complex test and measurement solutions primarily serving the aerospace and defense end markets. The Company's products are highly engineered, proprietary components with significant aftermarket content and a strong presence across major aerospace and defense platforms. Raptor Scientific was founded in 2019 and is based in Berlin, Connecticut.

Buy -
SELLER

HCI Equity Partners

Washington, District of Columbia, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
PE ASSETS 1.0B USD
Size Large
Type Sector Agnostic
DESCRIPTION

HCI Equity Partners is a private equity group that targets lower middle-market industrial product and service companies throughout North America. HCI is a 'hands on' investor, looking to assist portfolio companies with growth strategies and improving profitability. The Firm seeks opportunities with $20 to $200 million in revenues and strong management in place. Specific areas of interest include aerospace/defense, automotive and commercial vehicle suppliers, industrial distribution, infrastructure, power generation, test/measurement equipment, and transportation. HCI Equity Partners (fka Thayer | Hidden Creek Partners) is based in Washington DC.


DEAL STATS #
Overall 19 of 26
Sector (Business Services) 4 of 4
Type (Secondary Buyout) 5 of 8
State (Arizona) 3 of 3
Country (United States) 17 of 24
Year (2019) 4 of 6
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2019-08-28 HVH Transportation

Denver, Colorado, United States

HVH Transportation, Inc. is an asset-light transportation provider. HVH primarily provides dry van truckload services throughout the Midwest, Southwest, and Western states. HVH Transportation was founded in 1956 and is based in Denver, Colorado.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2019-09-30 Ascend Leasing

Nashville, Tennessee, United States

Ascend Leasing is a provider of regional transportation and logistics solutions, specializing in truckload and warehousing and distribution services. Ascend Leasing was founded in 1969 and is based in Nashville, Tennessee.

Sell -