Tecun Capital Partners, Midwest Mezzanine Funds, Colfax Creek Capital and Rock River Capital Partners have agreed to acquire Wheeling, Illinois-based Fluence Automation, the former mail and parcel sorting business unit of Bell and Howell. Fluence management is also participating in the transaction. No financial terms were disclosed.
Pittsburgh, Pennsylvania – Tecum Capital Partners II (“Tecum”) is pleased to announce its new subordinated debt and equity investment in Fluence Automation (“Fluence” or the “Company”). Tecum collaborated with Midwest Mezzanine Funds (“Midwest Mezz”) on the transaction and together Tecum and Midwest Mezz partnered with Colfax Creek Capital, Rock River Capital Partners and management to acquire Fluence. The company was formerly the mail and parcel sorting business unit of Bell and Howell. The acquisition included the mail and parcel sorting systems / hardware and related software and service revenue associated with the hardware as well as assets that will be leveraged for growth opportunities in the material handling and e-Commerce fulfillment markets.
Fluence Automation will be led by Bell and Howell’s tenured VP and General Manager of Sorting, Mike Swift as President and CEO. “Fluence Automation will expand its position in the mail and parcel sorting market, making further investments in new market segments, including e-commerce, to accelerate growth,” Swift said. “Our automated solutions enable break-through productivity and speed-of-delivery improvements, backed by an outstanding suite of software and world-class customer support.”
About Tecum Capital
Tecum Capital is a Pittsburgh-based private investment firm with over $450 million of committed capital under management providing mezzanine debt, subordinated notes and private equity for middle market businesses. Tecum has invested more than $250 million in over 50 companies over the past 10 years throughout the Midwest, Mid-Atlantic, and Southeast. Tecum generally invests amounts ranging from $5 million to $15 million to support business owners and financial sponsors in growth financials, full and partial recapitalizations, generational transitions, and buyouts. For more information, please visit www.tecum.com.
About MidWest Mezzanine Funds
Midwest Mezzanine Funds was founded in 1992 and is based in Chicago, IL. Since inception, Midwest Mezz has partnered with private equity firms, independent sponsors, family offices and management teams to provide over $700 million of junior capital to more than 100 privately-owned, lower middle-market companies throughout the United States. MMF continues to provide customized and flexible financing solutions as it currently invests from its $270 million fifth family of funds which includes MMF V and MMF V SBIC. Over its 22+ year history as one of the oldest continually managed mezzanine firms in the United States, MMF has remained committed to the lower middle market and its reputation as a trusted and dependable partner. From coast to coast, the Principals at MMF have established and grown relationships with sponsors, intermediaries, banks, management teams and professional service firms. For more information visit: www.mmfcapital.com.
About Colfax Creek Capital
Colfax Creek is a private investment firm that takes a long-term approach to investing in “smaller” middle market companies. The firm invests in consumer product, service, and industrial companies in the Great Lake States. They prefer to support existing management in control investments, but will support limited management transitions. Colfax Creek is based in Birmingham, MI. For more information visit: www.colfaxcreek.com.
About Rock River Capital
Rock River Capital is a Chicago-based private investment firm focused on investing in growing industrial and services businesses as well as other growth oriented opportunities. They generally prefer to partner with existing management in ownership transition situations and take a long term, patient approach. For more information visit: www.rockrivercp.com.
About Fluence Automation
Fluence Automation is an innovative technology solutions company that is headquartered in Wheeling, IL. Fluence Automation sells mail and parcel sorting systems and owns a portfolio of mail and parcel labeling technologies that are increasingly being adapted for the e-Commerce fulfillment market. Fluence provides long-term support and customer care through its robust suite of software focused on vision/recognition and sorting applications and a service support network that is based primarily in the US with operating subsidiaries in the UK and Germany. For more information visit: www.fluenceautomation.com.