Hilltop Private Capital and KCB Private Equity have acquired Spiral Binding. Financial terms weren’t announced. Spiral, of Totowa, New Jersey, makes and distributes print finishing, graphic arts, and presentation equipment, supplies and services, including binding, laminating, paper handling, photo finishing and custom imprint services. TCF Funding and QS Strategies provided debt capital.
Hilltop Private Capital (“Hilltop”), in partnership with KCB Private Equity (“KCB”) today announced the acquisition of Spiral Binding (the “Company” or “Spiral”), a leading manufacturer and global distributor of a diverse line of print finishing, graphic arts, and presentation equipment, supplies and services, including binding, laminating, paper handling, photo finishing and custom imprint services. Spiral was founded in 1932, is headquartered in Totowa, NJ and operates six distribution centers nationwide. The existing shareholders of Spiral will remain as substantial investors in the Company and will continue to manage the business. Debt capital was provided by TCF Funding and QS Strategies. Other terms of the transaction were not disclosed.
“Hilltop and KCB took the time to understand the complexities of our business and the capital and operational resources they structured to meet our needs will help Spiral innovate and grow” said Rob Roth, CEO of Spiral. “We are excited to be working with knowledgeable partners who are supportive of our efforts to enhance Spiral’s industry leadership and performance” echoed Matt Roth, Spiral’s President.
The transaction represents the third investment for Hilltop, which was formed in 2016 by private equity veterans Drew Shea and Kate Lehman. As part of its investment strategy, Hilltop engages in pro-active sector research in the business and industrial products and services sectors to identify areas of opportunity. The attractive dynamics of this segment of the document processing market uncovered by Hilltop, coupled with Spiral’s leading market position, put the Company squarely within Hilltop’s investment focus.
“The Roth’s and the entire Spiral team have built an impressive business. The Company’s national footprint, diverse product and service offering, blue chip customer base and multi-channel go-to-market capabilities are a great platform from which to execute our investment strategy and we are excited to partner with management to do so.” said Kate Lehman. Robert Blair, KCB Managing Director added, “Spiral has demonstrated an ability to maintain its leadership position in its core markets while diversifying into adjacencies to accelerate growth, an exciting dynamic in any business”.
About Hilltop Private Capital
Hilltop Private Capital is a private equity firm focused on making control-oriented and significant minority investments in business and industrial products and services companies in the lower middle market, typically with revenues between $10 – $150 million. Hilltop is dedicated to combining tailored operational resources, flexible transaction structures, and long-term value creation with investor access and alignment. The firm’s strategy is to take a hands-on approach to investing and to build collaborative relationships with managers of businesses at a growth or ownership inflection point. Hilltop was founded in 2016 and is headquartered in New York City. For more information, visit http://www.hilltopprivatecapital.com
About KCB Private Equity
KCB Private Equity, founded in 1986 and based in Pasadena California, is a long-term, control investor in small to medium sized businesses. KCB invests in companies with sustainable competitive advantages, historically stable-to-growing revenues and EBITDA (in the $1-$8 million range), and unique products and services. KCB’s investment perspective, long-term hold strategy, extensive operating experience and the significant investment commitment of its principals differentiate it from traditional private equity firms. KCB offer sellers significant liquidity today while providing long-term continuity to their businesses. This philosophy allows KCB to build strong relationships with management and nurture solid, growing portfolio companies without the pressures of a short exit timeframe. For more information, visit http://www.kcbm.com
About Spiral Binding Company, Inc.
Spiral is a leading manufacturer and worldwide distributor of a diverse line of print finishing, graphic arts, and presentation products and services. Spiral maintains a highly qualified team of professionals to provide solutions to match any area of need for supplies and equipment in binding, laminating, paper handling, photo finishing, and custom imprinting services. Spiral is also the exclusive global manufacturer and distributor for the Pinchbook™ photobook and Silver Linings™ Self-Adhesive Photo Panels, licensed through Hewlett Packard. For more information, visit http://www.spiralbinding.com