Merit Capital Partners has announced two recent transactions: The firm recapitalization Glunt Industries Inc. and exited its investment in Angus Industries Inc. Glunt, a service provider to the steel and metals industries, became the sixth portfolio company in Merit’s Fund V. Angus, a portfolio company in Merit’s third fund, was acquired by publicly traded Worthington Industries Inc. in December 2011.
Merit Capital Partners is pleased to announce two transactions, the recapitalization of Glunt Industries, Inc. and the exit of its investment in Angus Industries, Inc. Glunt, a service provider to the steel and metals industries, became the sixth portfolio company in Merit’s Fund V, which has $612.5 million of committed capital. Angus, which was owned by an Employee Owned Stock Ownership Plan (ESOP), was a portfolio company in Merit’s Fund III. We continue to actively pursue new investment opportunities in partnership with business owners, management teams, ESOPs and independent sponsors.
In the fourth quarter of 2011, Merit Capital Partners completed an investment in Glunt Industries, Inc. in partnership with Dennis Glunt and management. Headquartered in Warren, Ohio, Glunt is a remanufacturer and service provider of equipment to industry leading steel and aluminum mills in North America. The Company reconditions, rebuilds, upgrades and extends the service life of critical steel and aluminum mill equipment to exacting tolerances. Repair and refurbishment services are critically important to the profitability of metal producers as equipment used in steel and aluminum production frequently wears out and requires servicing.
Consistent with Merit’s desire to partner with existing management, the Glunt investment was completed with the Company’s Owner and President as well as other key executives. Merit invested both subordinated debt and equity in support of the investment. Please contact Tom Campion or Evan Gallinson for more details on this transaction.
Merit Capital Partners completed the successful exit of its investment in Angus Industries, Inc., an S-Corp. ESOP. Worthington Industries, Inc. (NYSE:WOR) acquired Angus in December 2011. Angus, headquartered in Watertown, South Dakota, is the market leader in the design and manufacture of operator stations, rollover protective structures and cab components for world class OEMs in the agriculture, construction, mining, material handling and forestry industries. Primary customers include heavy OEMs such as Caterpillar, Case New Holland, Deere & Company and JLG. Angus operates factories in Watertown, South Dakota; Greeneville, Tennessee; Florence, South Carolina and Northwood, Iowa.
Bob Kluver, CEO of Angus, commented, “Merit was an excellent partner during a period of exceptional growth for Angus. They were instrumental both as board advisors and investors, supporting many significant capital projects and a meaningful add-on acquisition. They also provided valuable insight and leadership during our exit process. We enjoyed working with Merit.”
Merit invested junior capital in support of the ESOP’s acquisition of Angus in 2004. Merit’s investment in Angus represented its fifth investment in an ESOP-owned company. Please contact Dan Pansing or Jason Moskowitz for more details on this transaction.