M&A Deal Summary

Shorehill Capital, Twin Brook Capital Partners and Maranon Capital Acquire Triad Technologies

On November 7, 2019, private equity firm Shorehill Capital, mezzanine finance firm Twin Brook Capital Partners and mezzanine finance firm Maranon Capital acquired distribution company Triad Technologies from Svoboda Capital Partners

Acquisition Highlights
  • This is Shorehill Capital’s 2nd, Twin Brook Capital Partners’ 1st and Maranon Capital’s 1st transaction in the Distribution sector.
  • This is Shorehill Capital’s 5th, Twin Brook Capital Partners’ 11th and Maranon Capital’s 30th transaction in the United States.
  • This is Shorehill Capital’s 1st, Twin Brook Capital Partners’ 2nd and Maranon Capital’s 3rd transaction in Ohio.

M&A Deal Summary

Date 2019-11-07
Target Triad Technologies
Sector Distribution
Buyer(s) Shorehill Capital
Twin Brook Capital Partners
Maranon Capital
Sellers(s) Svoboda Capital Partners
Deal Type Secondary Buyout

Target

Triad Technologies

Vandalia, Ohio, United States
Triad Technologies is a full-line distributor of fluid power, fluid connector, hydraulic, pneumatic, and seal products to a diverse customer base throughout Ohio, Kentucky and Michigan.

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Buyer(S) 3

DESCRIPTION

Shorehill Capital is a private equity firm focused on acquiring well-run companies with room for improvement. The Firm seeks companies operating in the engineered products, industrial services, and distribution sectors and will consider opportunities throughout North America. Shorehill prefers profitable businesses with $3 to $15 million of EBITDA. Shorehill Capital is based in Chicago, Illinois.


DEAL STATS #
Overall 5 of 7
Sector (Distribution) 2 of 3
Type (Secondary Buyout) 2 of 2
State (Ohio) 1 of 2
Country (United States) 5 of 7
Year (2019) 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2019-01-08 Functional Devices

Sharpsville, Indiana, United States

Functional Devices is a manufacturer of electronic devices, including relays, power supplies, transformers, sensors, enclosures and wireless devices. The Company primarily serves the HVAC, building and lighting controls, energy management and wireless industries.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2021-08-06 Flexpak

Woods Cross, Utah, United States

Flexpak is a value-added distributor and supplier of packaging supplies, including stock and custom corrugated boxes, polybags, stretch wrap, shrink film, foam, cushioning, mailers, and other related packaging supplies. The Company primarily serves the food, healthcare, biotechnology, industrial, and consumer products industries across Utah and Idaho.

Buy -
Buyer
DESCRIPTION

Twin Brook Capital Partners is a provider of senior financing to small and mid-sized profitable companies. The Firm looks to offer a variety of credit and equity solutions including revolvers, senior loans, unitranche loans, mezzanine financing, and equity co-investment to US-based companies with $3 to $50 million in EBITDA. Target sectors include industrial, manufacturing, business services, financial services, insurance, aerospace/defense, distribution, healthcare, and software/tech enabled services. Twin Brook Capital Partners is based in Chicago, Illinois.


DEAL STATS #
Overall 11 of 23
Sector (Distribution) 1 of 2
Type (Secondary Buyout) 6 of 10
State (Ohio) 2 of 2
Country (United States) 11 of 22
Year (2019) 4 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2019-10-01 Ned Stevens

Fairfield, New Jersey, United States

Ned Stevens provides gutter cleaning, soft wash, and other related, non-discretionary residential services, including gutter maintenance, installation, and repair. Ned Stevens was founded in 1965 and is based in Fairfield, New Jersey.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2020-01-17 Empire Equipment

Raleigh, North Carolina, United States

Empire Equipment is a wholesale distributor of commercial foodservice equipment and genuine OEM parts into diverse markets, including food service equipment dealers, service organizations, buying groups, and national chain accounts. Empire Equipment was founded in 1985 and is based in Raleigh, North Carolina.

Buy -
Buyer

Maranon Capital

Chicago, Illinois, United States

Investor Investor Investor Investor Investor


Category Mezzanine Finance Firm
Founded 2007
PE ASSETS 4.0B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Maranon Capital LP is an investment firm that provides senior financing, mezzanine debt and equity co-investments for private equity backed and non sponsored middle market companies. Maranon seeks investments in financially healthy businesses with stable cash flows, diverse customers, and strong management. Prospective companies are valued between $30 and $150 million and generate $5 to $30 million of EBITDA. Maranon looks to invest $2 to $10 million for equity co-investments, $5 to $30 million for junior capital needs, and $10 to $50 million for senior debt requirements. Areas of interest include business services, healthcare services, distribution, manufacturing and consumer products/services. Funds typically support acquisitions, recapitalizations, refinancings, consolidations, ESOPs and growth capital needs. Maranon Capital LP was formed in 2007 and is based in Chicago. The Firm has additional offices in Birmingham, Michigan and South Bend, Indiana.


DEAL STATS #
Overall 31 of 38
Sector (Distribution) 1 of 1
Type (Secondary Buyout) 9 of 10
State (Ohio) 3 of 4
Country (United States) 30 of 37
Year (2019) 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2019-09-03 HSI

Frisco, Texas, United States

HSI provides a comprehensive set of health and safety solutions to help its customers meet their training and compliance requirements. HSI offers more than 780 training courses for emergency care, workplace safety, health & safety services, and professional responders. HSI also provides hands-on training via 51,300 authorized affiliate instructors and 13,200 third-party training centers in the U.S. and Canada. HSI also offers a proprietary management system platform that tracks customers’ health & safety programs and employee compliance. HSI was founded in 1978 and is based in Frisco, Texas.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2019-11-22 Milton Industries

Chicago, Illinois, United States

Milton Industries is a provider of highly-engineered tools and accessories for pneumatic applications across a variety of end markets, including vehicle service, industrial MRO, aerospace and defense, and agriculture. Milton Industries was founded in 1943 and is based in Chicago, Illinois.

Sell -

Seller(S) 1

SELLER

Svoboda Capital Partners

Chicago, Illinois, United States

Investor Investor Investor


Category Private Equity Firm
Founded 1998
PE ASSETS 400M USD
Size Middle-Market
Type Sector Agnostic
DESCRIPTION

Svoboda Capital Partners is a private equity firm that seeks buyout, recapitalization, and growth capital investments in mid-sized companies with leading market positions, strong customer relationships, and high margins. Svoboda generally looks to invest up to $25 million in businesses generating sales of $10 to $100 million and EBITDA of $3 to $15 million. Sectors of interest include value-added distribution, business services, and consumer products. Svoboda Capital Partners was formed in 1998 and is based in Chicago, Illinois.


DEAL STATS #
Overall 32 of 34
Sector (Distribution) 11 of 11
Type (Secondary Buyout) 11 of 11
State (Ohio) 2 of 2
Country (United States) 32 of 34
Year (2019) 4 of 4
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2019-01-04 One North Interactive

Chicago, Illinois, United States

One North Interactive is a digital marketing consultancy focused on assisting middle- to large-market professional services and other B2B organizations in using digital brand strategy, user experience, creative, social media, and technology to create unique and meaningful customer experiences. One North Interactive was established in 2012 and is based in Chicago, Illinois.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2020-02-06 Kenway Consulting

Chicago, Illinois, United States

Kenway Consulting is a management and technology consultancy, providing IT and business solutions to middle-market and enterprise clients operating across a range of industries, including financial and professional services, manufacturing and industrial, telecom and software / IT, and healthcare, among others. Kenway Consulting was established in 2004 and is based in Chicago, Illinois.

Buy -