M&A Deal Summary

Summit Park and Stellus Capital Management Acquire Cars Protection Plus

On December 31, 2015, private equity firms Summit Park and Stellus Capital Management acquired automotive company Cars Protection Plus

Acquisition Highlights
  • This is Summit Park’s 1st and Stellus Capital Management’s 1st transaction in the Automotive sector.
  • This is Summit Park’s 7th and Stellus Capital Management’s 6th transaction in the United States.
  • This is Summit Park’s 1st and Stellus Capital Management’s 1st transaction in Pennsylvania.
Investment Fate
  • Cars Protection Plus was sold to a strategic buyer in 2020.

M&A Deal Summary

Date 2015-12-31
Target Cars Protection Plus
Sector Automotive
Buyer(s) Summit Park
Stellus Capital Management
Deal Type Recapitalization
Advisor(s) Confluence Advisors (Financial)

Target

Cars Protection Plus

Murrysville, Pennsylvania, United States
Cars Protection Plus, Inc. is a provider of vehicle service contracts (“VSCs”) to independent and franchise dealerships throughout the United States. Cars Protection Plus was founded in 1998 and is based in Murrysville, Pennsylvania.

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Buyer(S) 2

Buyer

Summit Park

Charlotte, North Carolina, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2005
PE ASSETS 245M USD
Size Small
Type Sector Agnostic
DESCRIPTION

Summit Park Partners is a private investment firm that acquires lower middle-market companies. Summit Park looks for profitable, established businesses in consumer services, business services, value-added distribution, and light manufacturing. The Firm targets businesses with revenues of $20 to $150 million and EBITDA between $4 and $15 million. Prospective transaction types include recapitalizations, management buyouts, family successions, corporate divestitures, and industry consolidations. Summit's geographic preference is within the Southeast and Mid-Atlantic US. Summit Park was formed in 2005 and is based in Charlotte, North Carolina.


DEAL STATS #
Overall 7 of 25
Sector: Automotive M&A 1 of 1
Type: Recapitalization M&A Deals 5 of 18
State: Pennsylvania M&A 1 of 1
Country: United States M&A 7 of 24
Year: 2015 M&A 1 of 1
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2014-09-10 TIE

Clinton Township, Michigan, United States

TIE is specialized in the repair, refurbishment, and replacement of industrial electronic parts. TIE was founded in 1992 and is based in Clinton Township, Michigan.

Buy -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2016-05-17 NSI Industries

Huntersville, North Carolina, United States

NSI Industries is a provider of a wide variety of electrical connectors including insulated connectors and mechanical, digital time controls, time switches, wire management products, and related electrical components for construction, maintenance, and repair applications. NSI Industries was established in 1975 and is based in Huntersville, North Carolina.

Sell -
Buyer

Stellus Capital Management

Houston, Texas, United States

Investor Investor Investor Investor Investor


Category Private Equity Firm
Founded 2004
PE ASSETS 3.4B USD
Size Large
Type Sector Agnostic
DESCRIPTION

Stellus Capital Management is a provider of debt and equity capital to middle-market companies headquartered throughout the US and Canada. For credit commitments, Stellus looks to provide $10 to $50 million of capital to help support buyouts, acquisitions, recapitalization, growth opportunities, rescue financing, distressed situations, as well as bridge loans. Sectors' of interest for Stellus' credit practice includes business services, energy, general industrial, government, healthcare, software and specialty finance. Stellus' equity practice seeks to provide $20 to $100 million to small and mid-sized energy (upstream, oilfield services, midstream) companies. Stellus Capital was originally formed in 2004 as Laminar Direct Capital and operated as the direct investing unit of D.E. Shaw. The Group became independent in 2012. Stellus has offices in Houston, New York City, and Washington DC.


DEAL STATS #
Overall 6 of 86
Sector: Automotive M&A 1 of 1
Type: Recapitalization M&A Deals 1 of 10
State: Pennsylvania M&A 1 of 4
Country: United States M&A 6 of 83
Year: 2015 M&A 2 of 2
PREVIOUS DEAL
DATE TARGET DEAL TYPE VALUE
2015-09-30 Aurora Parts & Accessories

Lebanon, Indiana, United States

Aurora Parts & Accessories is a distributor of aftermarket parts and accessories for over-the-road semi-trailers. The company offers a complete line of branded and private label parts in the industry, maintaining a comprehensive inventory to serve all makes and models of trailer. Aurora Parts & Accessories is based in Lebanon, Indiana.

Sell -
FOLLOWING DEAL
DATE TARGET DEAL TYPE VALUE
2018-04-25 DTE

Addison, Illinois, United States

DTE provides powertrain and transmission repair and maintenance services for customers in the energy, industrial and mining end markets. DTE repairs all major OEM platforms, including Allison, Caterpillar and Twin Disc. The company operates nine service centers covering all major U.S. shale basins and mining regions and manages an inventory of company-owned and customer-provided powertrains and transmissions. DTE was founded in 1975 and is based in Addison, Illinois.

Buy -