Add-on Acquisition • Machinery

K-Tec Acquires Ashland Industries

On March 11, 2020, K-Tec acquired machinery company Ashland Industries from Coastline Capital and Peninsula Capital Partners

Acquisition Context
  • This is K-Tec’s 1st transaction in the Machinery sector.
  • This is K-Tec’s 1st transaction in the United States.
  • This is K-Tec’s 1st transaction in Wisconsin.

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M&A Deal Summary

Date March 11, 2020
Target Ashland Industries
Sector Machinery
Buyer(s) K-Tec
Sellers(s) Coastline Capital
Peninsula Capital Partners
Deal Type Add-on Acquisition

Target Company

Ashland Industries

Ashland, Wisconsin, United States
Ashland Industries is a manufacturer of agricultural and commercial tractor-drawn, direct-mount and dolly-wheeled ejection scrapers and carry-all style pivoting dump scrapers used by farms and infrastructure contractors to grade and condition terrain. Ashland Industries was founded in 1953 and is based in Ashland, Wisconsin.
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Buyer Overview 1

Buyer

K-Tec

Rosenort, Manitoba, Canada

Category Company
Founded 2000
Sector Machinery
DESCRIPTION

K-Tec is a manufacturer of pull-pan earthmoving scrapers and accessories for the construction, mining, and agriculture end-markets, among others. K-Tec was founded in 2000 and is based in Rosenort, Manitoba.


Deal Context for Buyer #
Overall 1 of 1
Sector: Machinery 1 of 1
Type: Add-on Acquisition 1 of 1
State: Wisconsin 1 of 1
Country: United States 1 of 1
Year: 2020 1 of 1

Seller Profiles 2

SELLER

Coastline Capital

New York, New York, United States

Category Private Equity Firm
Founded 2000
Size Small
Type Sector Agnostic
DESCRIPTION

Coastline Capital LLC is a private equity firm that invests in middle market companies located in the US and Canada. Coastline Capital focuses on companies with profitable history, positive EBITDA and strong market positions with revenues between $10 - $150 million and EBITDA of more than $3 million. Specific areas of interest include manufacturing, distribution, consumer services, restaurants and retail. The Firm will consider a variety of transaction types, including buyouts, growth capital, recapitalizations and special situations. Coastline Capital LLC was formed in 2000 and is based in Valley Stream, New York.


Deal Context for Seller #
Overall 2 of 2
Sector: Machinery 1 of 1
Type: Add-on Acquisition 2 of 2
State: Wisconsin 1 of 1
Country: United States 2 of 2
Year: 2020 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2019-05-08 KSC

Phoenix, Arizona, United States

KSC is a wholesale food distributor expanding throughout the Southwest. Kellogg serves retailers, food service operators, and manufacturers through a combination of product sourcing, category management, and distribution excellence. Kellogg has unique expertise sourcing, merchandising, and distributing Hispanic foods. KSC is based in Phoenix, Arizona.

Buy -
SELLER

Peninsula Capital Partners

Southfield, Michigan, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 1995
PE ASSETS 1.9B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Peninsula Capital Partners is an investment group focused on providing a range of financing solutions to middle-market companies. The Firm is willing to be a minority or control investor and invests across the capital structure. This includes subordinated debt, preferred or common stock. For mezzanine commitments, Peninsula looks to invest $5 to $40 million. For equity transactions, Peninsula looks to invest $2 to $20 million. Peninsula is a generalist investor. Target sectors include manufacturing, industrial service, distribution, consumer products, professional services, retail, applied technology, transportation, food processing and packaging. Peninsula Capital Partners was formed in 1995 and is based in Detroit, Michigan.


Deal Context for Seller #
Overall 40 of 49
Sector: Machinery 2 of 2
Type: Add-on Acquisition 19 of 23
State: Wisconsin 3 of 3
Country: United States 37 of 46
Year: 2020 1 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2020-01-20 Zadig & Voltaire

Paris, France

Zadig & Voltaire operates in the luxury segment of the fashion market in Europe. It currently operates approximately 200 boutiques and shop in shops over 20 countries throughout Europe, Asia and North America. Zadig & Voltaire was founded in 1995 and is based in Paris, France.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2020-07-01 ArcLight Dynamics

Bend, Oregon, United States

ArcLight Dynamics is a designer and manufacturer of computer numeric control (CNC) plasma cutting tables and related equipment. The Company produces cost-effective, entry-level tables for hobbyists and small businesses as well as larger cutting tables used in a variety of industrial settings such as automotive, aerospace, and manufacturing. ArcLight Dynamics is based in Bend, Oregon.

Buy -