Connell in Deal with Japan’s Misumi Group

Connell Limited Partnership has sold Dayton Progress Corporation, PCS Company, and the components group of Anchor Danly to MISUMI Group Inc. of Japan. The acquisition, for a total of $200 million, was previously announced in October 2012. Global mid-market investment bank Lincoln International acted as exclusive financial advisor to Connell.

PRESS RELEASE

Lincoln International, a leading global mid-market investment bank, has announced the completion of the sale of Dayton Progress Corporation, PCS Company, and the Components Group of Anchor Danly by Connell Limited Partnership (“Connell”) to MISUMI Group Inc. of Japan. The acquisition, for a total of $200 million, was previously announced in October 2012.
The Die Set and Fabrications businesses of Anchor Danly are not included in this acquisition.
“MISUMI Group is a growing, successful company that has established a supply chain which delivers low cost and short lead times in Japan, China and the rest of Asia. Ownership by MISUMI is a great thing for our company and for customers and distributors of Dayton Progress Corporation and Anchor Danly,” said Alan Shaffer, President & CEO of Dayton Progress Corporation. “MISUMI brings additional products, global supply chain resources and relationships with global OEMs and is a very complementary fit with Dayton Progress Corporation and Anchor Danly’s strength in products, service and distribution channels. We will have access to lower cost and short lead time production systems and expect many other product synergies from MISUMI. Dayton Progress Corporation and Anchor Danly bring to MISUMI products made to Western industry specifications, leading sales and service coverage in North America and Europe plus a long history with the global automotive industry.”
Anchor Danly and Dayton Progress Corporation are North American and European industry leaders in the manufacture of tooling and die components for stamping and forming. Anchor Danly has two factories in the U.S. and two in China employing over 400 people. Dayton Progress Corporation and PCS Company have 10 factories in North America, Europe and Asia, employing 1,000 people and shipping to 13,000 customers in 51 countries.
Lincoln International acted as the exclusive financial advisor to Connell, working closely with the management of Anchor Danly, Dayton Progress Corporation, and PCS Company. This included providing advisory expertise and managing the preparatory, marketing, negotiation and due diligence phases of the transaction.
Frank Doyle, President and CEO of Connell, commented, “Lincoln’s strategic advice, excellent process execution and involvement in every stage of the transaction resulted in our management teams meeting Misumi’s robust diligence process as we continued to deliver excellent products and services to our distributor partners and customers.” Kurt Keady, Connell’s Vice President and CFO, added, “Lincoln did an outstanding job in project management and facilitating negotiations in a complex structural environment. Their extensive experience in cross-border transactions and local presence in Japan contributed significantly to a successful sale to the right strategic partner.”
About Lincoln International
Lincoln International specializes in merger and acquisition advisory services, debt advisory services, private capital raising and restructuring advice on mid-market transactions. Lincoln International also provides fairness opinions, valuations and pension advisory services on a wide range of transaction sizes. With thirteen offices in the Americas, Asia and Europe, Lincoln International has strong local knowledge and contacts in key global economies. The firm provides clients with senior-level attention, in-depth industry expertise and integrated resources. By being focused and independent, Lincoln International serves its clients without conflicts of interest.