Recapitalization • Machinery

Main Street Capital Acquires Compass Systems and Sales

On December 13, 2023, private equity firm Main Street Capital acquired machinery company Compass Systems and Sales from Alston Capital Partners and Plexus Capital

Acquisition Context
  • This is Main Street Capital’s 8th transaction in the Machinery sector.
  • This is Main Street Capital’s 138th transaction in the United States.
  • This is Main Street Capital’s 5th transaction in Ohio.

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M&A Deal Summary

Date December 13, 2023
Target Compass Systems and Sales
Sector Machinery
Buyer(s) Main Street Capital
Sellers(s) Alston Capital Partners
Plexus Capital
Deal Type Recapitalization
Advisor(s) Bundy Group (Financial)

Target Company

Compass Systems and Sales

Barberton, Ohio, United States
Compass Systems and Sales is a provider of highly engineered material handling solutions specializing in systems requiring dilute phase pneumatic capabilities. Compass Systems and Sales was founded in 1998 and is based in Barberton, Ohio.
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Buyer Overview 1

Buyer

Main Street Capital

Houston, Texas, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1997
PE ASSETS 8.7B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Main Street Capital is a public investment firm that invests in mid-market companies to support ownership transitions, recapitalizations, strategic acquisitions, business expansion and other growth initiatives. Main Street looks for businesses opearting in basic industries with positive cash-flow and and defensible competitive advantages. Main Street generally invests $5 to $125 million in companies with $10 to $150 million of revenue and EBITDA of $3 to $20 million. Investments are usually in the form of term debt and/or direct equity. Main Street Capital was formed in 1997 and is based in Houston, Texas.


Deal Context for Buyer #
Overall 138 of 146
Sector: Machinery 8 of 8
Type: Recapitalization 58 of 63
State: Ohio 5 of 5
Country: United States 138 of 146
Year: 2023 4 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2023-06-28 Ira Green

Providence, Rhode Island, United States

Ira Green is a manufacturer and distributor of military decorations, medals, insignia, and uniform accessories, supplying products to armed forces and military exchanges worldwide. Ira Green was established in 1943 and is based in Providence, Rhode Island.

Buy $53M
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2023-12-27 Pinnacle Plastics

Houston, Texas, United States

Pinnacle Plastics is a manufacturer and distributor of commercial can liners, polyethylene bags, produce bags, and other adjacent products primarily serving quick-service restaurants, convenience stores, and janitorial service providers. Pinnacle Plastics is based in Houston, Texas.

Buy -

Seller Profiles 2

SELLER

Alston Capital Partners

New York, New York, United States

Investor Investor Investor


Category Private Equity Firm
Founded 2011
Size Small
Type Sector Agnostic
DESCRIPTION

Alston Capital Partners is a lower middle-market private equity firm focused on investing in specialty manufacturing, environmental, and technology companies. Within specialty manufacturing, Alston looks for market leading, low fixed asset companies that produce high value-added products. Within the environmental sector, Alston targets businesses that reduce waste and improve resource consumption. Alston will consider a variety of transaction situations including buyouts, recapitalizations, divestitures, growth equity, turnarounds and minority investments. The Firm seeks opportunities with $10 to $150 million headquartered throughout the US and Canada. Alston Capital Partners was formed in 2011 and is based in New York City.


Deal Context for Seller #
Overall 5 of 5
Sector: Machinery 1 of 1
Type: Recapitalization 2 of 2
State: Ohio 1 of 1
Country: United States 5 of 5
Year: 2023 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2022-03-09 Battery Solutions

Howell, Michigan, United States

Battery Solutions is a provider of battery recycling services to corporations, governments, municipalities, and households. Battery Solutions was founded in 1971 and is based in Howell, Michigan.

Sell -
SELLER

Plexus Capital

Charlotte, North Carolina, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1995
PE ASSETS 2.2B USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Plexus Capital is a private equity firm that invests in buyouts, acquisitions, recapitalizations and growth financings in the form of junior and/or equity capital. Plexus focuses on lower middle-market businesses located in the Mid-Atlantic and Southeast areas of the US. The Firm looks for businesses companies in the business services, consumer services, manufacturing, value-added distribution, and healthcare sectors with up to $2 to $15 million of cash-flow. Plexus Capital was formed in 1995 and is based in Charlotte, North Carolina.


Deal Context for Seller #
Overall 41 of 44
Sector: Machinery 1 of 1
Type: Recapitalization 3 of 3
State: Ohio 1 of 1
Country: United States 41 of 44
Year: 2023 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2023-10-03 Texwin

Wills Point, Texas, United States

Texwin is a manufacturer and retailer of portable buildings, carports, garages, barns, and various other models of custom metal buildings to the Texas, Louisiana, Oklahoma, and Arkansas markets. Texwin was founded in 1999 and is based in Wills Point, Texas.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2024-03-08 Heritage Imaging

Boise, Idaho, United States

Heritage Imaging is a provider of medical diagnostic imaging services to customers in underserved markets in the Midwest and Pacific Northwest. The company’s revenue is generated from full-service mobile imaging solutions, which includes providing both equipment and technicians to perform scans on-site at customer locations. It also offers both equipment rentals and technician staffing on a standalone basis. Heritage Imaging was founded in 1989 and is based in Boise, Idaho.

Buy -