Pradesidian Capital has sold its stake in Arc Machines Inc for $8.5 million. The buyer was not identified. Based in California, AMI is a maker of automated orbital welding equipment.
NEW YORK – January 10, 2017 – Praesidian Capital, a leading provider of senior and subordinated capital for small and mid-sized businesses, reported today it has exited its $8.5 million investment in Arc Machines, Inc. (“AMI” or “Arc Machines”), a California-based manufacturer of automated orbital welding equipment. The investment was made initially to support a 2008 recapitalization of the company.
With Praesidian’s guidance and support over the past eight years, AMI has enjoyed substantial growth and brought several innovative welding solutions to market, both domestically and internationally. Praesidian’s exit is in connection with a sale of the business to a strategic buyer.
Glenn Harrison, Praesidian Capital Partner, commented: “We are pleased to see AMI advance with this sale. The company is a market leader with bright prospects, and we wish them continued success.”
“We appreciate Praesidian Capital’s support, guidance, and patience that allowed us to maximize the value of Arc Machines. Through Praesidian’s stewardship we were able to prepare Arc Machines for acquisition by a strategic buyer that will provide stability for our employees and customers,” said Doug Solomon, CEO of Arc Machines.
About Arc Machines, Inc.
Arc Machines designs, manufactures and distributes the world’s broadest and most advanced range of automated orbital welding equipment. The company specializes in the design and manufacture of precision, highly automated, stable welding systems including welding power sources, control systems, electro-mechanical torch manipulation devices (weld heads) and arc-zone vision systems. Founded in 1976, AMI is headquartered in Pacoima, CA with offices in Houston, TX; Switzerland; Germany; U.K.; and India. Further information is available at www.arcmachines.com
About Praesidian Capital
Praesidian Capital is an innovative private investment firm focused on providing senior and subordinated debt along with growth capital to private lower middle market businesses in the United States, United Kingdom, Germany, and selectively in Northern Europe. Praesidian invests in established small and mid-sized companies, often in connection with management buyouts, recapitalizations, and refinancings. Based in New York with an office in London, Praesidian manages nearly $1 billion in committed capital. For more information, visit www.praesidian.com.