Golden Gate Capital has agreed to acquire a majority equity stake in New York City-based GAL, a maker of elevator components and systems. No financial terms were disclosed. Houlihan Lokey advised GAL on the deal.
SAN FRANCISCO, CA and BRONX, NY – May 4, 2017 – Golden Gate Capital (“GGC”), a leading private equity investment firm, today announced that it has signed a definitive agreement to make a majority equity investment in G.A.L. Manufacturing Corporation, G.A.L. Canada Elevator Products Corporation, Hollister-Whitney Elevator Corporation, and affiliated entities (collectively “GAL” or “the Company”). Terms of the transaction were not disclosed.
Headquartered in the Bronx, NY, with additional facilities in Quincy, IL, and Mississauga, ON, GAL is a leading North American designer, manufacturer, and distributor of elevator components and systems. The Company supplies nearly every electromechanical component used on elevator systems to customers ranging from independent elevator contractors to leading elevator OEMs. Founded in 1927 by Herbert Glaser, GAL is currently managed by his sons Herbert Glaser Jr. and Walter Glaser together with third-generation family members Paul Seifried, Sonny Glaser, and Brian Glaser. The Company will remain in its present manufacturing locations and the Glaser family will continue to maintain a minority ownership position in the Company.
Herbert Glaser Jr. and Walter Glaser commented: “We are deeply proud of what we and our fellow employees at GAL have built over our long history. As we explored the idea of finding a partner to support the next phase of the Company’s growth, our objective was to find a patient, stable investor with a long-term outlook, significant operational expertise and an outstanding track record of helping management teams and businesses thrive. GGC’s focus on building businesses over a long time horizon makes them an ideal partner to support GAL for many years to come.”
Rajeev Amara, a Managing Director at Golden Gate Capital, commented: “We have a tremendous amount of respect for the outstanding business and culture that the Glaser family and their employees have built over the past 90 years. We are excited to play a role in preserving that legacy and supporting the Company’s next chapter of growth, and we are committed to ensuring that GAL continues to deliver great products and outstanding service to its customers.”
Houlihan Lokey advised GAL on the transaction.
About Golden Gate Capital
Golden Gate Capital is a San Francisco-based private equity investment firm with over $15 billion of capital under management. The principals of Golden Gate Capital have a long and successful history of investing across a wide range of industries and transaction types, including going-privates, corporate divestitures, and recapitalizations, as well as debt and public equity investments. Notable investments sponsored by Golden Gate Capital include Tronair, Cole-Parmer, Phillips-Medisize, ANGUS, Springs Window Fashions, Humanetics Innovative Solutions, EP Minerals, and U.S. Silica. For more information, visit www.goldengatecap.com.
About GAL, GAL Canada and Hollister-Whitney
GAL is comprised of G.A.L. Manufacturing Corporation, G.A.L. Canada Elevator Products Corporation (managed by Steve Husband), and Hollister-Whitney Elevator Corporation (managed by Frank Musholt and Brian Musholt). The Company supplies nearly every electromechanical component used on elevator systems, including door operators and associated door equipment, geared and gearless traction machines, universally compatible microprocessor controllers, safety components, signal fixtures, push button panels, and structural assemblies. The Company sells products to a diverse range of customers including thousands of independent elevator contractors and large elevator OEMs.