The Jordan Company has acquired DiversiTech Corp. The seller was DiversiTech’s Chairman Charles Lipman. Management also invested. Financial terms weren’t announced. Duluth, Georgia-based DiversiTech makes and distributes HVACR products for the repair, replacement and installation markets. TM Capital Corp. provided financial advice to DiversiTech.
New York, NY: May 20, 2015 – The Resolute Fund III, L.P., a private equity fund managed by The Jordan Company today announced that it has acquired DiversiTech Corporation (“DiversiTech” or the “Company”) in partnership with the existing Management team from the Company’s shareholder group, led by longtime Chairman, Charles Lipman.
Headquartered in Duluth, Georgia, DiversiTech is North America’s leading manufacturer and distributor of HVACR products for the repair, replacement and installation markets. Its comprehensive product portfolio includes proprietary equipment pads, condensate management equipment, HVACR maintenance chemicals and electrical and other accessories. The Company’s breadth of offerings, extraordinary product innovation capabilities and industry leadership combine to position DiversiTech as the “one-stop-source” for HVACR distributors nationwide.
Charles Lipman, DiversiTech’s Chairman and majority shareholder commented: “This is a transformational moment in our Company’s history. Our management team, led by CEO Jim Prescott, has established DiversiTech as the industry’s clear leader and now, with the resources of The Jordan Company behind them, is poised to take the Company to a whole new level.” CEO Jim Prescott said: “All of us at DiversiTech are grateful to Charles for his visionary leadership over 35 years, and I look forward to Charles’ guidance and support for many years to come. Looking ahead, our opportunity to accelerate the growth of our business, both organically and via acquisitions, has never been more apparent. In partnership with The Jordan Company, we have an extraordinary opportunity to expand our business and deliver even more value to our loyal customers.”
“Throughout our history, Jordan has partnered with industry-leading platforms led by talented management teams. In DiversiTech, we are acquiring a world-class platform combined with a world-class management team and an extraordinary group of employees. We will continue to invest in the Company and aggressively execute on a highly targeted acquisition and organic growth strategy. This is a great business with a wealth of opportunities ahead,” said David Butler, Senior Partner at The Jordan Company.
Weil, Gotshal & Manges LLP served as legal counsel to The Jordan Company. TM Capital Corp. served as financial advisor and Greenberg Traurig, LLP served as legal counsel to DiversiTech in this transaction.