Aterian Investment Partners has acquired Sterling Heights, Michigan-based ATCO Industries Inc, a provider of tech-enabled testing, measurement and quality containment services for the North American automotive market. No financial terms were disclosed. Kirkland & Ellis LLP and William Blair & Company advised Aterian on the deal.
NEW YORK, NY and MIAMI, FL (May 24, 2022) – Aterian Investment Partners (“Aterian”), a private investment firm, is pleased to announce the acquisition of ATCO Industries, Inc. (“ATCO,” or the “Company”).
Founded in 1980 and headquartered in Sterling Heights, MI, ATCO is a leading provider of tech-enabled testing, measurement and quality containment services, primarily to the North American automotive market. ATCO’s services are critical to automakers’ products, quality and production-line uptime by ensuring that any potential issues are rapidly identified, quarantined and corrected. Through its reputation and over 40 years of performance, ATCO has organically built its business and leveraged its robust technology platform to become a provider of choice for quality assurance in North America and continues to position itself with customers that are expected to be significant players in the transformation of cars into electric and next-generation vehicles.
Stan Patterson, President of ATCO, stated, “We have made tremendous strides in helping to pioneer the industry over the past 40 years. This next step will help propel our platform and strategic initiatives forward. We chose to align with Aterian as a strategic partner in order to advance the digitization and breadth of quality assurance services we offer.”
Christopher H. Thomas, Co-Founder & Partner at Aterian, commented, “Our investment in ATCO represents an opportunity to support an industry going through a wave of innovation and change, where testing, measurement and quality are fundamental to success. Investing behind family organizations and executing on strategic growth opportunities are core pillars underpinning Aterian’s strategy.”
Daniel Krasnow, Principal at Aterian, added, “From quality inspection to engineering services, ATCO has been able to grow its position through its reputation, speed and execution. The Company is a recognized leader, and we look forward to working alongside the employee base to further accelerate and support the Company’s position.”
Kirkland & Ellis LLP and William Blair & Company advised Aterian on the investment. Deloitte Corporate Finance and Honigman LLP represented the seller.
About Aterian Investment Partners
Aterian Investment Partners is a private equity firm that invests in industry-leading, middle market businesses. In collaboration with management, Aterian supports investments throughout an organization, from people to processes, equipment, technology, and social governance, among others. With offices in New York and Florida, Aterian has raised cumulative equity commitments of more than $1.5 billion since its founding in 2009. For more information, please visit http://www.aterianpartners.com