M&A Deal Summary

Oaktree Capital Management, Tailwind, Tenex Capital Management and Audax Private Debt Acquire National Trench Safety

On October 26, 2016, asset manager Oaktree Capital Management, private equity firm Tailwind, private equity firm Tenex Capital Management and mezzanine finance firm Audax Private Debt acquired safety/security company National Trench Safety from GreyLion

Acquisition Highlights
  • This is Oaktree Capital Management’s 1st, Tailwind’s 1st, Tenex Capital Management’s 2nd and Audax Private Debt’s 3rd transaction in the Safety/Security sector.
  • This is Oaktree Capital Management’s 50th, Tailwind’s 28th, Tenex Capital Management’s 20th and Audax Private Debt’s 52nd transaction in the United States.
  • This is Oaktree Capital Management’s 7th, Tailwind’s 4th, Tenex Capital Management’s 4th and Audax Private Debt’s 4th transaction in Texas.

M&A Deal Summary

Date 2016-10-26
Target National Trench Safety
Sector Safety/Security
Buyer(s) Oaktree Capital Management
Tailwind
Tenex Capital Management
Audax Private Debt
Sellers(s) GreyLion
Deal Type Secondary Buyout

Target

National Trench Safety

Houston, Texas, United States
National Trench Safety is a provider of trench safety and traffic control solutions to underground construction and infrastructure-related industries. TPRC serves over 5,000 customers through a network of 37 branch locations across the United States. National Trench Safety was founded in 1978 and is based in Houston, Texas.

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Buyer(S) 4

Buyer

Oaktree Capital Management

Investor Investor Investor Investor Investor


Category Asset Manager
Founded 1995
PE ASSETS 26.0B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Oaktree Capital Management LLP is a global alternative investment firm with a variety of investment strategies spanning corporate debt, convertible securities, distressed debt, control investing, real estate, and public investing. The Firm's control investing group is spread across several disciplines, including Global Principal, European Principal, Power, and Infrastructure. Oaktree was formed in 1995 and is based in Los Angeles.


DEAL STATS #
Overall 75 of 129
Sector: Safety/Security M&A 1 of 2
Type: Secondary Buyout M&A Deals 14 of 24
State: Texas M&A 7 of 11
Country: United States M&A 50 of 83
Year: 2016 M&A 9 of 10
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-10-07 SunOpta

Eden Prairie, Minnesota, United States

SunOpta is the soy processing company in North America, supplying branded product manufacturers such as Hain Celestial (West Soy) and Dean Foods (Silk). The Company also sells other organic, non-genetically modified soy, oat and corn ingredients to food manufacturers. In addition, SunOpta is the largest distributor of organic groceries in Canada. SunOpta other holdings include an environmental services company involved in cleaning bridges, ships and other surfaces; and a steam explosion technology division dedicated to exploiting a proprietary technology for extracting pulp in an environmentally friendly manner from straw and other natural products. SunOpta was founded in 1973 and is based in Eden Prairie, Minnesota.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2016-11-29 Sterling

Phoenix, Illinois, United States

Sterling is a North American provider of access, crane, and outrigger mats to owners and constructors of energy and power infrastructure, particularly electric transmission & distribution and oil & gas pipelines. Sterling also provides turnkey matting solution services, including access planning, site preparation, mat installation and removal, and site restoration. Sterling’s matting solutions help protect the environment, increase construction efficiency, and play a critical role in ensuring jobsite safety. Sterling was founded in 1949 and is based in Phoenix, Illinois.

Buy -
Buyer

Tailwind

New York, New York, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2003
PE ASSETS 3.7B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Tailwind is an independent private equity firm focused on making control investments in companies operating in the healthcare, media/communications, and business services sectors. Tailwind looks to invest $25 to $200 million in profitable businesses valued above $500 million. The Firm seeks companies with proven business models and strong opportunities for growth, either organically or through acquisition. Tailwind Capital was formed in 2003 and is based in New York, New York.


DEAL STATS #
Overall 28 of 51
Sector: Safety/Security M&A 1 of 1
Type: Secondary Buyout M&A Deals 7 of 18
State: Texas M&A 4 of 5
Country: United States M&A 28 of 51
Year: 2016 M&A 5 of 5
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-10-26 Acertus

Saint Louis, Missouri, United States

Acertus is a technology-enabled, non-asset-based third-party vehicle lifecycle solutions provider, offering a comprehensive service including Car Haul, Drive Away, Storage, Title and Registration, Compliance, Care and more for OEMs, Dealerships and Rental and Fleet Management Companies. Acertus leverages proprietary technology to provide service across the entire vehicle lifecycle. Acertus was formed in 2010 and is based in St. Louis, Missouri.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-01-01 Edenbridge Pharmaceuticals

Parsippany, New Jersey, United States

Edenbridge Pharmaceuticals is a specialty generic pharmaceutical company focused on niche markets. In addition to its portfolio of approved products, the company has in-house R&D capabilities to develop new products. Edenbridge was formed in 2008 and is based in Parsippany, New Jersey.

Buy -
Buyer

Tenex Capital Management

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1999
PE ASSETS 1.2B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Tenex Capital Management is a private investment group focused on acquiring control positions in profitable North American companies with $3 to $40 million of EBITDA. The Firm does not have any sector preferences and looks to commit up to $125 million per transaction. Tenex Capital Management was formed in 1999 and is based in New York City.


DEAL STATS #
Overall 20 of 49
Sector: Safety/Security M&A 2 of 3
Type: Secondary Buyout M&A Deals 7 of 16
State: Texas M&A 4 of 8
Country: United States M&A 20 of 49
Year: 2016 M&A 6 of 8
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-09-08 SES Foam

Spring, Texas, United States

SES Foam is a manufacturer and marketer of high-quality polyurethane spray foam insulation. SES proprietary open and closed cell wall foam products are currently used by a select number of authorized insulation contractors in various regions of the U.S. The company also produces and markets roofing foam. SES Foam was formed in 2010 and is headquartered in Spring, Texas.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2016-11-22 Cadence Petroleum Group

Asheboro, North Carolina, United States

Cadence Petroleum Group is a distributor of lubricants, fuel, antifreeze, diesel exhaust fluid, and other ancillary products for the eastern and central United States. Cadence Petroleum Group was founded in 1947 and is based in Asheboro, North Carolina.

Buy -
Buyer

Audax Private Debt

New York, New York, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 2000
PE ASSETS 5.4B USD
Size Mega
Type Sector Agnostic
DESCRIPTION

Audax Mezzanine is the mezzanine finance arm of the Audax Group. The Firm focuses on investing in both private and public, US-based middle market companies with a strong history of cash flows and consistent revenue growth. Audax will consider subordinated mezzanine debt commitments, second lien or junior secured debt, preferred stock and common stock. The Firm seeks to invest in companies with EBITDA between $10 and $100 million. Types of transaction include MBOs, LBOs, growth capital financings, acquisition financings, and recapitalizations. Audax Private Debt is based in New York, New York.


DEAL STATS #
Overall 53 of 120
Sector: Safety/Security M&A 3 of 3
Type: Secondary Buyout M&A Deals 22 of 58
State: Texas M&A 4 of 9
Country: United States M&A 52 of 118
Year: 2016 M&A 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-07-20 Century Snacks

Commerce, California, United States

Century Snacks is a manufacturer and distributor of nuts, trail mixes, dried fruits, and similar snacks specializing in Roasting, Seasoning, Blending, and Packaging. Century Snacks was founded in 1999 and is based in Commerce, California.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-04-11 Simply Good Foods

Denver, Colorado, United States

Simply Good Foods is a food company with a product portfolio consisting primarily of nutrition bars, ready-to-drink shakes, sweet and salty snacks, and confectionery products marketed under the Atkins®, Quest®, and Atkins Endulge® brand names. Simply Good Foods was formed in 1989 and is headquartered in Denver, Colorado.

Sell -

Seller(S) 1

SELLER

GreyLion

Investor Investor Investor Investor Investor


Category Growth Capital Firm
Founded 2012
PE ASSETS 1.9B USD
Size Large
Type Sector Agnostic
DESCRIPTION

GreyLion is a private equity firm that primarily seeks lower middle-market investment opportunities throughout the US. Broad areas of interest include industrials, services, and consumer. The Firm looks to commit $25 to $100 million of equity in businesses valued up to $250 million. Prospective transaction situations include buyouts, recapitalizations, divestitures, and growth capital financings. GreyLion was formed in 2012 and is headquartered in New York, New York.


DEAL STATS #
Overall 1 of 8
Sector: Safety/Security M&A 1 of 2
Type: Secondary Buyout M&A Deals 1 of 2
State: Texas M&A 1 of 2
Country: United States M&A 1 of 7
Year: 2016 M&A 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2016-06-21 Hyphen Solutions

Dallas, Texas, United States

Hyphen Solutions provides a cloud-based construction management software solution to a national network of homebuilders and suppliers. The software connects with all major enterprise resource planning systems to provide real-time access to job status and to allow for efficient resource management. Hyphen Solutions was founded in 1999 and is based in Dallas, Texas.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2017-06-06 RealReal

San Francisco, California, United States

RealReal is an online marketplace for authenticated, consigned luxury goods. The Company provides an end-to-end service that unlocks supply from consignors and creates a trusted, curated online marketplace for buyers globally. RealReal aggregates and curates unique, pre-owned luxury supply that is exclusive to RealReal across multiple categories, including women’s, men’s, kids’, jewelry and watches, and home and art. RealReal was established in 2011 and is based in San Francisco, California.

Buy -