M&A Deal Summary

Hidden Harbor Capital Partners Acquires Cloyes

On May 4, 2018, private equity firm Hidden Harbor Capital Partners acquired automotive company Cloyes from KPS Capital Partners

Acquisition Highlights
  • This is Hidden Harbor Capital Partners’ 1st transaction in the Automotive sector.
  • This is Hidden Harbor Capital Partners’ 2nd transaction in the United States.
  • This is Hidden Harbor Capital Partners’ 1st transaction in Arkansas.
Investment Fate
  • Cloyes was sold to a consortium of financial buyers in 2022.

M&A Deal Summary

Date 2018-05-04
Target Cloyes
Sector Automotive
Buyer(s) Hidden Harbor Capital Partners
Sellers(s) KPS Capital Partners
Deal Type Secondary Buyout

Target

Cloyes

Fort Smith, Arkansas, United States
Cloyes is a designer, developer, manufacturer, and distributor of timing drive systems and components for the automotive aftermarket. Its products are mission-critical components for engine performance and function used in high-performance and replacement applications. Cloyes is based in Fort Smith, Arkansas.

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Buyer(S) 1

DESCRIPTION

Hidden Harbor Capital Partners is an operationally focused private equity firm focused on acquiring North American middle-market companies. The Firm seeks businesses with up to $500 million in revenue and up to $30 million of EBITDA. Sectors of interest include industrials, transportation/logistics, consumer products, automotive, environmental, chemicals, food/beverages, and business services. Hidden Harbor Capital Partners was established in 2016 and is based in Boca Raton, Florida.


DEAL STATS #
Overall 2 of 20
Sector: Automotive M&A 1 of 3
Type: Secondary Buyout M&A Deals 1 of 3
State: Arkansas M&A 1 of 1
Country: United States M&A 2 of 18
Year: 2018 M&A 1 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2017-08-18 Stella Environmental Services

Houston, Texas, United States

Stella Environmental Services is a provider of transfer station management and municipal waste logistics services. The Company provides facility management, hauling, and loading services to municipal solid waste and transportation customers across various states. Transfer stations are a vital part of the waste collection process by improving the efficiency of collection vehicles and reducing operating costs for Stella’s customers. Stella Environmental Services is based in Houston, Texas.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-08-01 Masterwork Electronics

Chula Vista, California, United States

Masterwork Electronics is an electronics manufacturing service (EMS) provider, and serves a diverse mix of original equipment manufacturers (OEMs) from North America and beyond, representing varied markets including telecom, industrial hardware, payment processing, electric vehicle charging, and home automation. With California-based corporate leadership and state-of-the-art production facilities just over the border in Mexicali, Mexico, Masterwork Electronics is the go-to nearshoring provider of high quality/low-cost manufacturing solutions. Masterwork Electronics was founded in 1994 and is based in Chula Vista, California.

Buy -

Seller(S) 1

SELLER

KPS Capital Partners

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1991
PE ASSETS 21.8B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

KPS Capital Partners is a private investment firm that targets special situations including turnarounds, restructurings, bankruptcies, and corporate divestitures. KPS' target investment size is $200 million to $2 billion in businesses with minimum revenues of $250 million. The Firm has specific interest in companies engaged in the manufacturing, transportation, and service industries. KPS will not consider investments in high technology, financial services, telecommunications, broadcast media, real estate and natural resources. The Firm's geographic coverage spans the US, Canada, and Europe. KPS Capital Partners was formed in 1991 and is based in New York, New York.


DEAL STATS #
Overall 23 of 36
Sector: Automotive M&A 4 of 5
Type: Secondary Buyout M&A Deals 9 of 11
State: Arkansas M&A 1 of 1
Country: United States M&A 20 of 29
Year: 2018 M&A 3 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2018-05-02 Autokiniton

New Boston, Michigan, United States

Autokiniton is a North American supplier of propulsion-agnostic, structural automotive components and assemblies. Its vertical integration capabilities allow it to offer its customers end-to-end engineering, manufacturing, and in-house logistics. Autokiniton was founded in 2018 and is based in New Boston, Michigan.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-07-23 Expera Specialty Solutions

Kaukauna, Wisconsin, United States

Expera Specialty Solutions LLC is a manufacturer of specialty paper products for the industrial & technical, food, and pressure-sensitive release liner segments. Headquartered in Wisconsin, Expera employs approximately 1,800 people across four Wisconsin-based manufacturing facilities located in Rhinelander, Mosinee, Kaukauna and De Pere.

Sell $615M