Divestiture • Manufacturing

Pegasus Capital Group Acquires SPG

On September 1, 2010, private equity firm Pegasus Capital Group acquired manufacturer SPG from Leggett & Platt

Acquisition Context
  • This is Pegasus Capital Group’s 1st transaction in the Manufacturing sector.
  • This is Pegasus Capital Group’s 6th transaction in the United States.
  • This is Pegasus Capital Group’s 2nd transaction in Georgia.
Investment Fate
  • SPG was sold to management in 2015.
  • SPG was sold to a consortium of financial buyers in 2024.

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M&A Deal Summary

Date September 1, 2010
Target SPG
Sector Manufacturing
Buyer(s) Pegasus Capital Group
Sellers(s) Leggett & Platt
Deal Type Divestiture

Target Company

SPG

Atlanta, Georgia, United States
SPG manufactures and supplies commercial-grade, steel, stainless steel, and aluminum materials handling and storage products used in a variety of end-markets including industrial distribution, food service, and grocery and convenience stores. It primarily sells to the domestic locations of leading industrial distributors, quick-service restaurant brands and franchisees, big box retailers, and convenience stores, working directly with customers to engineer custom storage and material handling solutions. SPG was founded in 2010 and is based in Atlanta, Georgia.
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Buyer Overview 1

Buyer

Pegasus Capital Group

Santa Monica, California, United States

Category Private Equity Firm
Founded 1997
Size Small
Type Sector Agnostic
DESCRIPTION

Pegasus Capital Group is a private investment firm that acquires established, profitable, growth-oriented businesses in non-technology intensive industries. Pegasus has a particular interest in niche-manufacturing, but will also consider value-added distribution and specialty service companies. The Firm prefers North American opportunities. Prospective companies typically have revenues of $5 to $75 million and EBITDA of at least $2 million. Pegasus avoids investing in start-ups, early-stage ventures, technology-driven companies, or minority investments. Pegasus Capital Group was formed in 1997 and is located in Los Angeles, California.


Deal Context for Buyer #
Overall 6 of 10
Sector: Manufacturing 1 of 2
Type: Divestiture 1 of 2
State: Georgia 2 of 2
Country: United States 6 of 10
Year: 2010 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2009-01-09 American Piping Products

Chesterfield, Missouri, United States

American Piping Products is a specialized distributor of seamless and welded pipe and tubular related products. American Piping Products serves international customers in a variety of end markets including energy, refining, petrochemical, power generation, and diversified industrial. American Piping Products was founded in 1994 and is based in Chesterfield, Missouri.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2011-12-01 Shield Pack

West Monroe, Louisiana, United States

Shield Pack is the dominant manufacturer of element-resistant packaging primarily sold to major chemical companies for storing and transporting bulk dry materials. The company is also a rapidly growing provider of specialty packaging used by a wide variety of customers for liquid food applications.

Sell -

Seller Profile 1

SELLER

Leggett & Platt

Carthage, Missouri, United States

Category Company
Founded 1883
Sector Manufacturing
Employees17,700
Revenue 4.4B USD (2024)
DESCRIPTION
Entrance to Leggett & Platt's corporate headquarters in Carthage, Missouri.
Entrance to Leggett & Platt's corporate headquarters in Carthage, Missouri.

Leggett & Platt is a diversified manufacturer that conceives, designs and produces a wide range of engineered components and products found in many homes, offices, retail stores, automobiles and commercial aircraft. The Company's residential furnishing's segment supplies a variety of components used by bedding and upholstered furniture manufacturers in the assembly of their finished products. The Company's commercial fixtures and components group designs, produces, installs and manages our customers’ store fixtures projects as well as designs, manufactures, and distributes a wide range of engineered components and products primarily for the office seating market. The Company's industrial materials segment manufactures a variety of wires and tubing products. The Company's specialized product segment designs, produces and sells components for automotive seating, specialized machinery and equipment, and service van interiors. Leggett & Platt was formed in 1883 and is based in Carthage, Missouri.


Deal Context for Seller #
Overall 4 of 9
Sector: Manufacturing 1 of 4
Type: Divestiture 4 of 9
State: Georgia 1 of 1
Country: United States 3 of 7
Year: 2010 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2008-11-25 Fibrix

Conover, North Carolina, United States

Fibrix LLC is a manufacturer of precision-crafted, nonwoven materials for use in filtration, furniture, and bedding, industrial and craft markets. Fibrix is based in Conover, North Carolina.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2012-01-11 Displayplan

Baldock, United Kingdom

Displayplan is a retail display consultant, providing a complete service from concept, through design and sourcing to finished product delivery. Displayplan was founded in 1984 and is based in Baldock, United Kingdom.

Sell -