Paladin Brands Holding, Inc. ("Paladin") announced Sept. 7 that KPS Capital Partners, LP ("KPS"), through a newly formed holding company, International Equipment Solutions, Inc. ("IES"), has entered into a definitive agreement to acquire Paladin and Crenlo LLC ("Crenlo") from Dover Corporation (NYSE: DOV).
Paladin Brands Holding, Inc. to be acquired by KPS Capital Partners
Paladin Brands Holding, Inc. (“Paladin”) announced Sept. 7 that KPS Capital Partners, LP (“KPS”), through a newly formed holding company, International Equipment Solutions, Inc. (“IES”), has entered into a definitive agreement to acquire Paladin and Crenlo LLC (“Crenlo”) from Dover Corporation (NYSE: DOV). Financial terms of the transaction were not disclosed.
Based in Cedar Rapids, Iowa, Paladin designs, engineers, and manufactures attachment tools for heavy and light equipment with applications in the construction, agriculture, demolition, recycling, landscaping, aviation and utility end-markets.
Paladin operates four business units, each focused on specific markets and products. Paladin Construction Group serves the construction, landscaping, agriculture and aviation markets under several brands, including Bradco, McMillen, FFC, Sweepster, Harley, JRB, C&P and CustomWorks. Paladin Demolition and Recycling, through its Genesis brand, serves the demolition and metal recycling markets. Paladin Utility, through its Pengo brand, provides augers and related tools for the utility and foundation drilling markets. Paladin Custom Material Handling, through its Jewell brand, provides custom excavator packages for the demolition, forestry and material handling markets.
Crenlo is a leading North American provider of steel cabs and roll-over protective structures (ROPS) and electronics enclosures for customers serving a wide range of markets. In the operator interface cab segment, Crenlo serves world-class OEM customers in the construction, mining, agriculture and specialty truck markets. Crenlo, through its Emcor brand, provides standard catalog and custom products for customers serving the technology, aerospace, government and energy markets.
David Burdakin, president of Paladin, said, “Our entire team at Paladin is pleased to move forward under KPS and excited about their commitment to manufacturing excellence and to supporting our future growth. We will remain focused on providing our customers with industry-leading products and unsurpassed service.”
Raquel Palmer, a KPS partner, said, “We are very excited to create International Equipment Solutions. IES, by acquiring Paladin and Crenlo, launches as the premier international engineered equipment manufacturer, with an industry-leading portfolio of brands and an exceptionally strong reputation for quality, durability, delivery, product support and product innovation. We intend to grow IES aggressively both organically and through acquisition in North America and globally. The combination of the company’s exceptional operational expertise and strong customer relationships, combined with financial resources provided by KPS, will facilitate IES’s global expansion, especially in China, India and South America.”
The closing of the transaction is expected during the third quarter of 2011 and is subject to customary closing conditions.