Monomoy Capital Partners has sold Heat Transfer Products Group to Rheem Manufacturing Company. Terms of the deal were not disclosed. Monomoy acquired Heat Transfer Products in 2010 from Carrier Corporation.
Monomoy Capital Partners, L.P. (“Monomoy”), a New York private equity fund focused on value investment and business improvement, announced today that it completed the sale of its portfolio company, Heat Transfer Products Group, LLC. (“HTPG”) to Rheem Manufacturing Company. Financial terms of the transaction were not disclosed.
Headquartered in Scottsboro, Alabama, HTPG is a leading supplier of heat transfer components and equipment for refrigeration applications in the foodservice, food retail and other non-consumable markets. The company’s products are described in detail at www.htpgusa.com.
Monomoy acquired HTPG in June of 2010 from Carrier Corporation and worked quickly to implement a value creation plan that included a facility consolidation, transitioning to an outsourced IT model, implementing lean manufacturing principles, improving working capital and establishing in-depth customer and product profitability analyses.
“HTPG has been a solid investment for us, and it is well-positioned for its next phase of growth,” said Justin Hillenbrand, Chairman of HTPG’s parent company American Refrigeration, Inc. and Partner of Monomoy. “Rheem will be able to leverage HTPG’s portfolio of brands and products to enter new markets and grow its enterprise. This investment should generate a meaningful return for Rheem.”
Daniel Cleary, the company’s Chief Executive Officer, added, “Monomoy was a great partner for us and brought a diligent, operational focus to the forefront of the company. The processes that Monomoy has helped institute have created discipline and fundamental strength across the organization.”
Craig-Hallum Capital Group acted as the financial advisor to HTPG. Kirkland & Ellis acted as counsel.
About Monomoy Capital Partners
Monomoy Capital Partners is a private equity firm with over $700 million in assets under management that makes controlling investments in middle-market businesses in the manufacturing, distribution, consumer product and foodservice industries. Over the past five years, Monomoy has closed 40 acquisitions, and its companies currently produce over $1.1 billion in combined sales and employ more than 4,500 people across four continents, from North America to Asia. Monomoy implements customized business improvement programs in all portfolio companies that reduce operating expenses, increase profitability and encourage profitable growth. Please visit www.mcpfunds.com for a detailed review of Monomoy and its portfolio.