Shnier-GESCO LP, a portfolio company of U.S. private equity firm Blue Point Capital Partners, has acquired Tierra Sol Ceramic Tile Ltd, a Canadian distributor of ceramic and porcelain tile, glass and metal accents, and natural stone products. No financial terms were disclosed. Blue Point said Tierra Sol will operate as an autonomous sister division to Shnier-GESCO, a distributor of floor coverings, and enhance the latter’s product capabilities and geographic footprint. Based in Brampton, Ontario, Shnier-GESCO was acquired by Blue Point in March 2013. It was sold by Canadian private equity firms Ironbridge Equity Partners, Signal Hill Equity Partners and Penfund.
Blue Point Capital Partners and GESCO, Parent of Shnier, Step Ahead With Tierra Sol Ceramic Tile Ltd. Acquisition
CLEVELAND, OH–(Marketwired – April 06, 2016) – Blue Point Capital Partners, in conjunction with its portfolio company, Shnier-GESCO Limited Partnership (Shnier), announced today the acquisition of Tierra Sol Ceramic Tile Ltd., a leading distributor of ceramic and porcelain tile, glass and metal accents, and natural stone products that are used for floors, walls, and commercial and residential applications.
Shnier (www.shnier.ca) is headquartered in Brampton, Ontario, and operates five state-of-the-art, warehouse, sales office and showroom facilities across Canada. Founded in 1938, the company offers value-added products, programs and services to its network of over 3,000 dealers. The acquisition of Tierra Sol, which will operate as an autonomous sister division to Shnier, will deepen GESCO’s capabilities in ceramic tile, complement its luxury vinyl tile business, and expand the company’s geographic footprint.
“Shnier excels at marketing, selling and distributing a broad range of licensed and proprietary branded flooring products to multiple customer channels,” said Chip Chaikin, a partner with Blue Point. “Tierra Sol is highly focused on the fast-growing ceramic category, with particular strength in western Canada and the northwestern United States. The combination of the two companies will allow GESCO to reach a larger customer base with an extended product and service offering. The combination is terrific.”
Ed duDomaine, president and chief executive officer of GESCO, said, “This move is a great strategic fit. It is an acquisition in a category that is growing at an accelerated rate, technologically advanced, steadily attracting new investment, global in scale and yet to be consolidated in a major way. As well, it increases significantly GESCO’s relative position within the ceramics industry, as it also establishes an initial footprint in the U.S. marketplace.”
The addition of Tierra Sol will increase GESCO’s exposure to a desirable product segment and further diversify the company’s overall product mix and geographic reach. Tierra Sol operates out of facilities in Seattle, Washington; Vancouver, British Columbia; and Calgary and Edmonton, Alberta.
Jonathan Pressnell, a principal with Blue Point, added, “With the addition of Tierra Sol, GESCO will continue to aggressively increase both sales and market share, while building on its well-established supplier and customer relationships. The future for GESCO is extremely bright.”
Blue Point Capital Partners (www.bluepointcapital.com) is a private equity firm managing over $800 million in committed capital. Leveraging offices in Cleveland, Charlotte, Seattle and Shanghai, Blue Point’s entrenched regional presence affords it the opportunity to establish relationships on a local and regional basis with entrepreneurs and their trusted advisors, while simultaneously providing the resources of a large, international firm. The Blue Point group has a 26-year track record of partnering with companies in the lower middle market where it can bring about accelerated growth and transformative change in partnership with its companies, their management teams and Blue Point’s network of operating resources. Blue Point is one of only a few middle-market private equity firms with a presence in the economies of both the United States and China, and the firm’s experience with cross-border management and value drivers provides a distinct advantage for its portfolio businesses. Blue Point invests in manufacturing, distribution and service businesses generating $20 million to $200 million in revenue.
For more information, contact:
BLUE POINT CAPITAL PARTNERS
Blue Point Capital Partners, LLC
127 Public Square, Suite 5100
Cleveland, OH 44114
President and CEO
GESCO / Shnier
50 Kenview Boulevard
Brampton, ON L6T 5S8
Photo courtesy of Tierra Sol Ceramic Tile Ltd