Sentinel Capital Partners said Monday it has acquired the industrial explosion protection businesses of UTC Climate, Controls & Security, a unit of United Technologies Corp. Financial terms were not announced. Sentinel is combining the businesses to form IEP Technologies. Boston-based IEP provides systems and services that suppress, isolate and / or vent potential combustible dust or vapor explosions in process industries.
NEW YORK, July 22, 2013 – Sentinel Capital Partners, a private equity firm that invests in promising lower middle market companies, today announced the formation of IEP Technologies, a company created through a carve-out of the industrial explosion protection businesses of UTC Climate, Controls & Security, a unit of United Technologies Corp. These businesses, which currently go to market under the names Fenwal Explosion Protection (USA), Incom Explosionsschutz (Switzerland), Kidde Explosionsschutz (Germany) and Kidde Explosion Protection (United Kingdom), have combined under IEP Technologies to form the global leader in the industrial explosion protection industry.
Headquartered in the greater Boston area, IEP Technologies provides systems and services that suppress, isolate and / or vent potential combustible dust or vapor explosions in process industries. IEP Technologies provides best-in-class explosion protection systems, design engineering, replacement parts, material testing, and service and support to its global customer base.
“We are very excited about IEP Technologies’ growth potential and thrilled to be partnering with its talented management team,” said Eric D. Bommer, a Sentinel partner. “IEP Technologies’ creation came about through a lot of hard work by IEP Technologies’ management, Sentinel’s team, and a large group of dedicated outside advisors to complete a highly complex corporate carve-out, including four separate business units spread across four different countries.”
The newly-combined IEP Technologies is well positioned to build collaboratively on the significant collective, global strengths of its existing system design platforms. IEP Technologies’ platforms include sophisticated computer calculation tools, and have been subjected to thousands of full-scale explosion tests spanning five decades of field experience. IEP Technologies will continue to lead the industry in research and development and make investments in new product technologies and existing product innovations.
IEP Technologies is led by CEO Randy Davis, an industry veteran and the previous General Manager of UTC Climate, Controls & Security’s Fenwal Explosion Protection group. IEP Technologies will also retain the local leadership in each of its existing geographies.
“I believe the formation of IEP Technologies is a significant event in the evolution of the industrial explosion protection industry,” commented Mr. Davis. “For the first time, one company will encompass the product development, application design engineering, and field service capabilities of four market leaders across the globe. This, in turn, will lead to enhanced product innovation and robust service and support for our customers. Our executive team members are shareholders in our business and our goal, with Sentinel’s support, is to further cement IEP Technologies’ position as the global market leader in providing explosion protection solutions for combustible dust and vapor threats.”
The formation of IEP Technologies is yet another significant event for Sentinel. In the past eighteen months, Sentinel has made five new platform investments, and has successfully completed six exits, including: Chromalox, a leading global manufacturer of highly engineered electric heating solutions for demanding, mission-critical process control applications; Inscape Publishing, a leading provider of assessment and training products and services that develop interpersonal skills; Interim Healthcare, a leading franchisor of skilled home healthcare services; LTI Boyd, a leading industrial manufacturer of mission-critical sealing and energy management solutions; Massage Envy, the nation’s largest provider and franchisor of massage therapy and facial treatment services; and Southern California Pizza Company, the largest Pizza Hut franchisee in southern California.
About Sentinel Capital Partners
Sentinel Capital Partners specializes in partnering with entrepreneurial executives to buy and build lower middle market companies in the United States and Canada. Sentinel targets eight industry sectors: aerospace/defense, business services, consumer, distribution, food/restaurants, franchising, healthcare, and industrials. Sentinel invests in management buyouts, purchases of family businesses, corporate divestitures, going-private transactions, and special situations of businesses with EBITDA between $7 million and $35 million. For more information about Sentinel, please visit www.sentinelpartners.com.
About IEP Technologies
IEP Technologies is the global leader in the explosion protection industry, with operations in North America and Europe. IEP Technologies serves customers across North and South America, Western and Eastern Europe, and has a growing presence in the Indian subcontinent and the rest of Asia. IEP Technologies offers the industry’s leading array of industrial explosion systems, design engineering, replacement parts, material testing, and service and support to its global customer bases around the world. Please visit www.ieptechnologies.com for more information.