Glencoe Capital Acquires Campbell Grinder

Private equity firm Glencoe Capital, investing through its Glencoe Capital Michigan Opportunities Fund, has acquired Spring Lake, Mich.-based Campbell Grinder Company. Financial terms of the deal were not released. Campbell Grinder manufactures high-precision grinding machines and filtration systems. Glencoe Capital and its affiliates have roughly $1.4 billion under management and offices in Chicago and Birmingham, Mich.

PRESS RELEASE
Glencoe Capital, LLC (“Glencoe Capital”), a private equity firm focused on control acquisitions and growth equity investments in lower middle-market companies, today announced that its Glencoe Capital Michigan Opportunities Fund has acquired Campbell Grinder Company, a manufacturer and provider of high-precision grinding machines, state-of-the-art “green” filtration systems, and custom design, process optimization, and employee training services.

Incorporated in 1969, Campbell Grinder employs 78 people at its manufacturing facility headquartered in Spring Lake, Michigan.

Campbell Grinder’s grinding products are used to machine and finish high-strength alloy components for custom-engineered products and engineering solutions used in the aerospace, land-based turbines, automotive, power generation, and defense sectors.

Industrial applications for Campbell Grinder’s products include the “hot end” of the aircraft engine; land-based turbines used to power the rotor of an electric generator in offshore power generation platforms, oil and gas transmission, industrial drives, and locomotive and marine propulsions; and the manufacture of anti-friction bearings within machinery where wheels or shafts turn.

Glencoe Capital’s Michigan Opportunities Fund is a $150 million private equity fund that invests in lower middle market companies that conduct a material portion of their business in the State of Michigan or in companies located outside Michigan that demonstrate a viable strategy for expanding business operations into the state. The Fund targets transaction values between $15 to $75 million.

“Campbell Grinder has a diverse blue-chip customer base for its precision grinding machines, enjoys strong brand recognition, and provides superior customer service,” said Jason Duzan, managing director of Glencoe Capital.

Mark Lorencz, Campbell Grinder’s president and CEO, said, “We are delighted to be joining forces with Glencoe Capital, a private equity investor with a depth of operating experience in Michigan. Our new sponsor will support our company with the financial expertise necessary to help us grow and expand our product offerings to other sectors and strengthen our services to our existing customer base.”

Campbell Grinder’s management team retains a significant ownership position in the newly recapitalized company. Terms of the transaction were not disclosed.

Glencoe Capital’s investment in Campbell Grinder is the fifth by its Michigan Opportunities Fund. Other companies in the Fund’s portfolio include Flatout, a Saline, Mich. producer of flatbread for retail groceries, mass market and club stores; NOVO 1, a provider of inbound call center solutions with a facility in Holland, Mich.; Moosejaw, a leading multi-channel retailer of premium quality outdoor apparel and equipment, located in Madison Heights, Mich.; and American Education Group, an operator of pre-K through grade 12 schools for specialized learning, headquartered in Grand Rapids, Mich.

About Glencoe Capital
Glencoe Capital is a private equity firm focused on lead-sponsored control acquisitions and growth equity investments in lower middle-market companies. Including its affiliates, Glencoe Capital has total aggregate capital of approximately $1.4 billion and has completed acquisitions for its control funds representing over $1 billion of transaction value. The firm has offices in Chicago and Birmingham, Michigan. For more information, please visit www.glencap.com.