M&A Deal Summary

S.J. Electro Systems Acquires L.W. Allen

On August 2, 2021, S.J. Electro Systems acquired business services company L.W. Allen from Gen Cap America and Midwest Mezzanine Funds

Acquisition Highlights
  • This is S.J. Electro Systems’ 1st transaction in the Business Services sector.
  • This is S.J. Electro Systems’ 1st transaction in the United States.
  • This is S.J. Electro Systems’ 1st transaction in Wisconsin.

M&A Deal Summary

Date 2021-08-02
Target L.W. Allen
Sector Business Services
Buyer(s) S.J. Electro Systems
Sellers(s) Gen Cap America
Midwest Mezzanine Funds
Deal Type Add-on Acquisition

Target

L.W. Allen

Madison, Wisconsin, United States
L.W. Allen manufactures water and wastewater control systems and distributes industrial and heavy-duty pumps to municipal and industrial customers. The company’s electrical control solutions, marketed under the Altronex brand name, provide the hardware, software, and services used by operators to control water and wastewater systems. It also designs, distributes, installs, and services water and wastewater treatment pump systems. L.W. Allen was formed in 1961 and is based in Madison, Wisconsin.

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Buyer(S) 1

Buyer

S.J. Electro Systems

Detroit Lakes, Minnesota, United States

Category Company
Founded 1975
Sector Electrical Equipment
DESCRIPTION

S.J. Electro Systems is a manufacturer of control solutions for the water and wastewater industry. SJE’s control solutions platform includes three trusted brands: CSI Controls, PRIMEX, and SJE Rhombus. S.J. Electro Systems was founded in 1975 and is based in Detroit Lakes, Minnesota.


DEAL STATS #
Overall 1 of 1
Sector (Business Services) 1 of 1
Type (Add-on Acquisition) 1 of 1
State (Wisconsin) 1 of 1
Country (United States) 1 of 1
Year (2021) 1 of 1

Seller(S) 2

SELLER

Gen Cap America

Nashville, Tennessee, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 1988
PE ASSETS 250M USD
Size Small
Type Sector Agnostic
DESCRIPTION

Gen Cap America, Inc. is a private investment firm focused on acquisitions and recapitalization of mid-sized businesses. Gen Cap looks to invest in privately held companies or non-core divestitures generating $10 to $200 million in annual revenues. Gen Cap prefers businesses operating in basic industries, such as manufacturing, distribution, and services. The Firm avoids investing in real estate or 'high-tech' businesses. Gen Cap America was formed in 1988 and is based in Nashville, Tennessee.


DEAL STATS #
Overall 23 of 29
Sector (Business Services) 2 of 2
Type (Add-on Acquisition) 11 of 14
State (Wisconsin) 1 of 2
Country (United States) 23 of 29
Year (2021) 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-01-06 Frontier Packaging

Tukwila, Washington, United States

Frontier Packaging is a provider of packaging materials and related logistics to the Alaskan seafood industry. Frontier Packaging was founded in 1985 and is based in Tukwila, Washington.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-09-02 Harford Systems

Aberdeen, Maryland, United States

Harford Systems is a manufacturer of custom Metal Fabricators. Harford Systems is based in Aberdeen, Maryland.

Buy -
SELLER

Midwest Mezzanine Funds

Chicago, Illinois, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 1992
PE ASSETS 1.0B USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Midwest Mezzanine Funds (MMF) is a provider of junior capital to lower middle-market, US and Canadian companies. MMF looks to invest $4 to $15 million to support buyouts, acquisition financings, recapitalizations, and growth capital needs. Prospective companies generally have consistent profits ($3 million of EBITDA), low capital intensity, and sustainable competitive advantages. Broad areas of interest include manufacturing, value-added distribution, and services. MMF will not invest in high technology, energy, or real estate. Midwest Mezzanine was formed in 1992 and has offices in Chicago and Monroe, Michigan.


DEAL STATS #
Overall 46 of 57
Sector (Business Services) 6 of 6
Type (Add-on Acquisition) 16 of 24
State (Wisconsin) 4 of 4
Country (United States) 45 of 56
Year (2021) 1 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2021-04-15 Truesdell

Tempe, Arizona, United States

Truesdell is a provider of quality repair, restoration, strengthening, protection, and maintenance of concrete structures. Comprehensive services range from assistance with initial diagnosis to final completion. Truesdell has completed more than 7,000 projects on a wide variety of national and international repair projects ranging from high-rise buildings, nuclear power generating plants, airports, residential projects, water treatment facilities, and a sizeable amount of public agency DOT work. Truesdell was founded in 1975 and is based in Tempe, Arizona.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-11-01 Fluence Automation

Arlington Heights, Illinois, United States

Fluence Automation LLC provides mail and parcel sorting systems/hardware and related software and service revenue associated with the hardware as well as assets that will be leveraged for growth opportunities in the material handling and e-Commerce fulfillment markets. Fluence Automation is based in Arlington Heights, Illinois.

Sell -