Morgenthaler Private Equity has recapitalized B&E Group LLC. No financial terms were disclosed for the transaction that was done in partnership with B&E Group’s senior management team that included CEO John Wilander and COO Paul Tobias. Twin Brook Capital Partners, a subsidiary of Angelo, Gordon & Co, provided the financing. Based in Southwick, Massachusetts and Fort Myers, Florida, B&E Group is an equipment manufacturing company.
CLEVELAND and BOSTON, Nov. 18, 2015 /PRNewswire/ — Morgenthaler Private Equity (“MPE”) announced today the recapitalization of B&E Group, LLC (“B&E Group” or the “Company”). B&E Group is comprised of two distinct business units, an original equipment manufacturing (“OEM”) group, which manufactures complex, machined components used in commercial aerospace, military and space applications, and a maintenance, repair and overhaul (“MRO”) group, which repairs commercial aerospace engine components.
The Company is headquartered in Southwick, MA and Fort Myers, FL.
MPE partnered in the transaction with B&E Group’s existing shareholders and senior management team, including Chief Executive Officer John Wilander and Chief Operating Officer Paul Tobias, both of whom will serve as members of the Company’s Board of Directors. Peter Taft, Partner at MPE, said, “We are very impressed with B&E Group’s engineering expertise and capabilities to machine exotic materials to tight tolerances. B&E Group is well known for its ability to handle its customers’ most complex and challenging parts. We also appreciate the Company’s technical service and repair capabilities. B&E Group fits squarely within MPE’s focus on entrepreneur-owned, high value manufacturing companies.”
Joe Machado, Partner at MPE, said, “We are excited to partner with B&E Group. We will work closely with the Company to expand its capabilities and capacity to support the growth of current and future customers.”
Charlie Rossetti, Vice President at MPE, added, “In addition to a number of organic growth opportunities, B&E Group will seek complementary add-on acquisitions for each of its operating divisions.”
John Wilander said, “MPE’s experience with highly engineered components, relevant industry knowledge and ability to work with entrepreneur-owned companies make them an ideal partner for B&E Group. We look forward to taking the B&E Group through its next phase of growth and development.”
Twin Brook Capital Partners, a subsidiary of Angelo, Gordon & Co., provided financing to support the transaction. Jones Day served as legal advisor to MPE.
About B&E Group
Headquartered in Southwick, MA and Fort Myers, FL, B&E Group is a design to production manufacturing company that serves the commercial, defense, and aerospace industries. B&E Group’s OEM divisions focus on the machining of highly complex parts from exotic materials. The Company’s MRO divisions repair commercial aerospace engine components.
About Morgenthaler Private Equity
Morgenthaler Private Equity (“MPE”) is the private equity group of Morgenthaler. Based in Cleveland, Ohio, and Boston, Massachusetts, MPE focuses on the lower middle market with transaction values up to $150 million and EBITDA between $5 – $20 million. MPE has two primary target investment areas: high-value manufacturing and proprietary business services. Morgenthaler is a leading, national private equity and venture capital firm, with approximately $3 billion under management and investments in more than 300 companies over its 46-year history. For more information, please visit www.morgenthaler.com/private-equity.