News

Acquisition

Dallas, TX December 30, 2011

Roofing Supply Group, LLC Acquires Intermountain Supply, Inc.

Roofing Supply Group, LLC (“RSG”), a national leader in the wholesale distribution of roofing supplies and related materials, today announced that it has acquired Intermountain Supply, Inc. (“IMS”). RSG is a portfolio company of The Sterling Group, L.P.

With locations in Seattle and Spokane, Washington, IMS is a leading distributor of residential and commercial roofing supplies and other building materials in the region. “Founded in 1995, Intermountain Supply has established itself as the leading roofing supply distributor in the state of Washington and throughout the Northwestern US and has an excellent reputation,” said Mike Farrell, President and CEO of RSG. “We had identified Washington as an attractive market for RSG’s entry in 2011, and we are thrilled to partner with the IMS team to extend our footprint into this new geographic region.”

RSG operates a strategic distribution network of 58 branches across 23 states, focused exclusively on residential and commercial roofing products and accessories. The IMS acquisition further strengthens RSG’s geographic position and ability to serve its customer base.

About Roofing Supply Group
Roofing Supply Group, headquartered in Dallas, Texas, is one of the largest wholesale distributors of roofing supplies and related materials in the United States. Through its network of 58 branches in 23 states, RSG provides one-step distribution services from roofing product manufacturers to roofing contractors and homebuilders. Each branch carries a complete line of roofing products for residential and commercial roofing, including composition asphalt shingles, underlayment, and associated ancillary products.

For additional information, please contact:
Roofing Supply Group, LLC
Paul Drobnitch
(214) 956-5184
pdrobnitch@rsgroof.com

For additional information, please contact:
The Sterling Group, L.P.
Franny Jones
(713) 341-5756
fjones@sterling-group.com



News

Houston, TX November 14, 2011

Sterling Named to 2011 List of Top 20 Private Equity Firms

The 2011 HEC-DowJones Private Equity Performance Ranking lists the world’s Top PE firms in terms of aggregate performance based on all funds raised between 1998 and 2007. This ranking answers the question: “Which firm(s) generated the best performance for their investors over the past years?” The ranking draws on a comprehensive set of data on PE fund performance provided by DowJones and directly from PE Firms and uses a unique methodology to calculate the aggregate performance of a PE firm based on difference performance measures for all the funds managed by this firm. The method is able to aggregate performance across vintage years and considers relative and absolute returns. In total, we analyzed performance data from 427 PE firms and the 950 funds they raised between 1998 and 2007 with an aggregate equity volume of $1300bn.

Download the full article

  1. Waterland
  2. Friedman Fleischer & Lowe
  3. Platinum Equity
  4. Hellman & Friedman
  5. TPG
  6. Astorg
  7. PAI Partners
  8. Rhone Capital
  9. Nordic Capital
  10. Onex Corporation
  11. The Sterling Group
  12. Towerbrook Capital Partners
  13. GTCR Golder Rauner
  14. Axa Private Equity
  15. Gilde Buy Out Partners
  16. BC Partners
  17. Barclays Private Equity
  18. Bain Capital
  19. The Riverside Company
  20. Apollo Management

 

Disclaimer: The Sterling Group, L.P. has not sought to independently verify information obtained from the sources used by HEC-DowJones to compile the rankings contained in this article. In addition, the methodology used by HEC-DowJones is subject to inherent limitations due to the confidential nature of the private equity industry, different vintage years, strategies or investment objectives of private equity firms and different performance measures used by such firms. There may be certain other limitations in the comparison of The Sterling Group, L.P. with other private equity firms in the ranking, with respect to its performance that it may not be aware of. The Sterling Group, L.P. makes no representations or warranties as to accuracy, completeness or reliability of information contained in this article.



Acquisition

Houston, TX August 02, 2011

The Sterling Group Acquires Stackpole International from Gates Canada

The Sterling Group (“Sterling”), a Houston based private equity investment firm, today announced that its affiliated investment fund, Sterling Group Partners III, L.P., has completed the acquisition of the Stackpole International (“Stackpole”) business from Gates Canada (a subsidiary of Pinafore Holdings PV). The acquisition is Sterling’s second investment in its third fund, an $820 million fund raised in 2010, and is the twentieth corporate carve-out in its twenty-nine year history.

The acquisition was financed with equity from Sterling Group Partners III, L.P., Current Capital LLC and several other co-investors. Senior debt financing was provided by RBC Capital Markets, BNP Paribas and UBS and mezzanine debt was provided by Hancock Capital Management, Fifth Street and Global Leveraged Capital.

Stackpole was founded in 1952 and was acquired by Gates in 2003. Headquartered in Ancaster, Ontario, Stackpole is a manufacturer and sole source supplier of highly-engineered oil pumps and powdered metal components to automotive original equipment manufacturers. Stackpole is a market leader in both oil pumps and powdered metals and has established a long-standing track record with fifty-five years of manufacturing expertise. Stackpole’s products are specified into powertrain (engine and transmission) platforms that have an average lifecycle of ten to fifteen years. These platforms underpin approximately 400+ vehicle nameplates. Stackpole currently has twelve manufacturing facilities and technical centers in North America, Europe, China and Korea.

“The entire management team is thrilled to partner with Sterling to return Stackpole to a standalone business. Over the next few years, our business will have the opportunity to expand in North America and significantly increase its presence in Europe and Asia. We feel that Sterling’s historical experience in effectively guiding the growth of manufacturing businesses such as ours, as well as their access to capital to support our growth needs, will be tremendous assets for our company,” said Peter Ballantyne, President and CEO of Stackpole.

Kent Wallace, a Partner of Sterling noted, “We are very excited to have the opportunity to work with Pete, the rest of the Stackpole management team and the employees to continue to expand the company’s global manufacturing platform. We are confident the company will continue to build on its outstanding reputation for consistently manufacturing and delivering critical components.”

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, distribution and industrial services companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of 40 platform companies and numerous add-on acquisitions for a total transaction value of approximately $9.4 billion. Currently, Sterling has $1.3 billion of committed capital under management through three funds. Current portfolio companies include North American Energy Partners, CST Industries, Roofing Supply Group, Universal Fiber Systems, Velcon Filters, Express, B&G Crane and Saxco International. The Sterling Group has a proven track record with corporate carve-outs as half of its transactions over the last thirty years have been the purchases of businesses from large corporations.

For additional information, please contact:
The Sterling Group, L.P.
Franny McKay Jones
(713) 341-5756
fjones@sterling-group.com



Acquisition

New Orleans, LA June 29, 2011

B&G Crane Service Acquires the Texas Assets of Ray Anthony International

B&G Crane Service, LLC (“B&G”), provider of operated and maintained mobile crane services, heavy rigging and specialty hauling services today announced that it has completed the acquisition of substantially all of the Texas-based assets of Ray Anthony International, LLC (“RAI”). B&G is a portfolio company of an affiliate of The Sterling Group, L.P. (“Sterling”), a Houston-based private equity investment firm.

Headquartered in New Orleans, Louisiana, B&G has a fleet of over 100 mobile cranes ranging from 6 to 825 tons in capacity and a truck fleet of over 50 vehicles. The company’s crane rental fleet consists primarily of mobile all terrain, hydraulic truck, lattice boom crawler and tough terrain cranes. The specialty hauling division includes modular platform trailers, gantry lift systems and specialty truck hauling capabilities. B&G’s primary market consists of petrochemical, refining and industrial customers within a 150 mile radius of the company’s New Orleans and Baton Rouge facilities.

The acquisition of the majority of RAI’s Texas fleet, consisting of 23 cranes (4 – 240 tons in capacity) and the accompanying trucks, trailers and other assets, represents B&G’s initial expansion into the Texas Gulf Coast market. B&G expects to transfer additional cranes from its Louisiana-based fleet and also anticipates buying several new cranes to service the Texas market. “The addition of RAI’s Baytown and Beaumont, Texas locations and corresponding fleets will enable B&G to better serve our customer base across an expanded geographical area,” said B&G’s CEO Xavier J. Grilletta Jr., whose father founded the company in 1946. “We are excited to partner with the RAI employees to provide the same high quality, safe and customized service to our clients in Texas that we have been providing in the Louisiana Gulf Coast market for the past 60 years.”

“The acquisition of the RAI assets accelerates B&G’s entrance into the Texas Gulf Coast market and positions the company to capitalize on the area’s myriad petrochemical, refining and heavy industrial facilities,” noted Kent Wallace, a Partner at Sterling.

About B&G Crane Service, LLC
B&G Crane Service, LLC has been locally operated in New Orleans by the Grilletta family since 1946. B&G has played an instrumental role in the support of the construction industry of the city and the surrounding region. Operating for over 60 years, B&G now has three generations involved in management and daily operations. With corporate headquarters located in New Orleans and branch offices in Metairie and Baton Rouge, its service area is concentrated in southeastern Louisiana, however B&G’s mobile fleet can service its customers throughout the southeastern United States. Staffed by a highly skilled work force, B&G operates with a continuously updated fleet of over 100 cranes ranging from 4 ton to 825 ton capacities and a supporting truck fleet in excess of 50 vehicles. B&G is dedicated to maintaining its position as an industry front-runner in providing the highest quality, most dependable, safest and most economical service in crane rental, heavy rigging and specialty hauling.

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, distribution and industrial services companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of 39 platform companies and numerous add-on acquisitions for a total transaction value of approximately $9.0 billion. Currently, Sterling has $1.3 billion of committed capital under management through three funds. Current portfolio companies include North American Energy Partners, CST Industries, Roofing Supply Group, Universal Fiber Systems, Velcon Filters, Express, B&G and Saxco International.

For additional information, please contact:
The Sterling Group, L.P.
Kent Wallace
(713) 341-5754
kwallace@sterling-group.com



Acquisition

Dallas, TX April 15, 2011

Roofing Supply Group LLC, a Portfolio Company of The Sterling Group, Announces Acquisition of Construction Resource, Inc.

Roofing Supply Group, LLC (“RSG”), a national leader in the wholesale distribution of roofing supplies and related materials, today announced that it has acquired Construction Resource, Inc. (“CRI”). Operating throughout Northern California, with locations in Oakland and Sacramento, CRI has established itself as a respected market leader in commercial roofing and waterproofing materials and as a preferred distributor of Firestone roofing materials and CETCO waterproofing over the last two decades. CRI’s success was built on delivering superior customer service to commercial roofing contractors, project owners and architects across the region.

“Construction Resource, Inc. has a long-standing reputation as a leading distributor of quality commercial roofing and waterproofing materials in Northern California,” said Mike Farrell, President and CEO of RSG. “We are extremely pleased that Mark Newman elected to transition his successful distributor business to RSG. We look forward to strengthening our commercial presence in the region, building on our relationship with Firestone and Mark as he continues to work as Firestone’s agent representative in Northern California, and learning from CRI’s team of commercial roofing experts.”

RSG operates a strategic distribution network of 56 branches across 22 states, focused exclusively on residential and commercial roofing products and accessories. The CRI acquisition further strengthens RSG’s geographic position and ability to serve its customer base.

Roofing Supply Group is a portfolio company of The Sterling Group, L.P.

About Roofing Supply Group
Roofing Supply Group headquartered in Dallas, Texas, is one of the largest wholesale distributors of roofing supplies and related materials in the United States. Through its network of 56 branches in 22 states, RSG provides one-step distribution services from roofing product manufacturers to roofing contractors and homebuilders. Each branch carries a complete line of roofing products for residential and commercial roofing, including composition asphalt shingles, underlayment, and associated ancillary products.

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, distribution and industrial services companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of 39 platform companies and numerous add-on acquisitions for a total transaction value of approximately $9.0 billion. Currently, Sterling has $1.3 billion of committed capital under management through three funds. Current portfolio companies include North American Energy Partners, CST Industries, Roofing Supply Group, Universal Fiber Systems, Velcon Filters, Express, B&G Crane Service and Saxco International.



Acquisition

Colorado Springs, CO March 31, 2011

Velcon Filters, LLC, a Portfolio Company of The Sterling Group, Completes Acquisition of Twin Filters B.V.

Velcon Filters, LLC, a manufacturer of industrial filtration systems, today announced that it has acquired Twin Filters B.V. Velcon is a portfolio company of The Sterling Group and was acquired in 2009 as a platform to execute a buy-and-build strategy.

With headquarters in The Netherlands, Twin designs, engineers and manufactures filtration equipment and replacement cartridges for the oil, liquid and air filtration markets in Europe, Asia, North America and other international markets. Wijbrand Schouten, the founding CEO who will remain with Twin in his current role, commented, “Velcon is the clear leader in the jet fuel market, and we are pleased to combine our organizations to continue to deliver top quality products and solutions to our collective customer bases globally.”

Velcon manufactures filtration systems, including vessels and replacement cartridges, which meet specific requirements for fluid filtration processes in a variety of domestic and international end-markets, primarily the jet fuel market. Dave Taylor, President and CEO of Velcon, said, “Since 1985, Twin has provided the highest quality filtration devices for the oil, liquid and air filtration markets. We are pleased to partner with Wijbrand and his team at Twin and to provide a broader range of products and solutions to our customers.”

The acquisition of Twin represents an expansion into new end-markets and geographies. “Velcon acquired Chemflo in late 2009 to expand our product offering into the downstream energy markets, and now Twin provides significant growth opportunities in the upstream markets,” Greg Elliott, Partner of The Sterling Group said. “We are excited to capitalize on the synergies that Velcon and Twin’s collaboration will provide.” The acquisition was financed with equity from Sterling Group Partners II, L.P. and debt financing from BNP Paribas, Amegy Bank of Texas and D.E. Shaw.

About Velcon Filters, LLC
Velcon, headquartered in Colorado Springs, CO, manufactures housing vessels and replacement cartridges used in the filtration of industrial fluids. The company is a global leader in the filtration process for jet fuel delivery, manufacturing products that filter, purify and remove water from jet fuel. End users of Velcon’s products primarily include airports, contracted fuel providers, FBO operators, militaries and pipeline operators. Velcon Process manufactures filtration products for commercial and industrial diesel consumers, refineries, petrochemical facilities and utilities.

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, distribution and industrial services companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of 39 platform companies and numerous add-on acquisitions for a total transaction value of approximately $9.0 billion. Currently, Sterling has $1.3 billion of committed capital under management through three funds. Current portfolio companies include North American Energy Partners, CST Industries, Roofing Supply Group, Universal Fiber Systems, Velcon Filters, Express, B&G Crane Service and Saxco International.



Acquisition

Houston, TX December 22, 2010

The Sterling Group Completes Acquisition of Saxco International

The Sterling Group (“Sterling”), a Houston-based private equity investment firm, today announced that it has completed the acquisition of a substantial equity interest in Saxco International (“Saxco”). The acquisition was financed with equity from Sterling Group Partners III, L.P. and debt financing from BNP Paribas and Oaktree CapitalManagement.

Saxco, headquartered in Horsham, PA, is the leading value-added distributor of rigid packaging products for the wine, spirits and craft beer markets in North America. With an operating history that spans more than seven decades, the company distributes glass bottles and other packaging products to a customer base of more than 2,000 wineries, distillers, brewers and specialty food manufacturers. The company has a broad network of sales offices and distribution facilities across the US, Canada and select international locations.

Saxco was founded in 1936 by members of the Sachs family. Brothers Keith and Herb Sachs will remain in their current management roles of CEO and President, respectively, and will continue to be significant owners in partnership with Sterling. “Sterling’s investment in Saxco is the start of an exciting new stage in our company’s 70- plus year history,” said Keith Sachs of the partnership. “We will draw upon Sterling’s expertise as we continue to deliver innovation, quality and superior customer responsiveness in the supply of rigid containers.”

“Over the past 74 years, the Sachs family has emerged as the leader in the distribution of packaging for alcoholic beverages,” said John Hawkins, a Partner of The Sterling Group. “We are excited about the opportunity to work with the Sachs brothers and the rest of the management team to continue to build the business and expand the product offering.”

Sterling has a long history of investing in distribution and packaging businesses and brings a proven track record in these sectors. Recent investments include Exopack and Roofing Supply Group.

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, distribution and industrial services companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of 39 platform companies and numerous add-on acquisitions for a total transaction value greater that $9.0 billion. Currently, Sterling has $1.3 billion of committed capital under management through three funds. Current portfolio companies include North American Energy Partners, CST Industries, Roofing Supply Group, Universal Fiber Systems, Velcon Filters, CCCG (“Express”) and B&G Crane Services.



News

Houston, TX December 06, 2010

Sterling named as one of Top 20 General Partners of 2010 by Dow Jones Private Equity News

http://www.sterling-group.com/images_news/dow-jones-1012.pdf



Acquisition

Houston, TX July 30, 2010

The Sterling Group, L.P. Completes Acquisition of Express

The Sterling Group, L.P. (“Sterling”), a Houston-based private equity investment firm, today announced that it has completed the acquisition of a majority interest in CCCG, LLC and its subsidiaries, including Express Integrated Technologies and Express Metal Fabricators (collectively, “Express”). The acquisition was financed with equity from Sterling Group Partners II, L.P. and debt financing from BNP Paribas.

Express, headquartered in Tulsa, OK, is an independent manufacturer engaged in the engineering, design and fabrication of heat transfer, environmental compliance, and sound suppression equipment. The company primarily serves the power generation, refining, chemical, exploration and production, and mining industries. Its primary products include Once-Through Steam Generators, heat Recovery Steam Generators, Simple Cycle Catalyst Systems, Fired Heaters and Waste Heat Recovery Units.

Express was founded by the Cowan family in 1979, and Express Integrated Technologies was established in 2000. Terry Cowan, CEO, and other key management, Jerry Cowan, John Hare, and Philip Childers, will continue their substantial ownership in the business going forward. “We are pleased The Sterling Group has agreed to partner with Express and are eager to capitalize on the many opportunities this new relationship presents. Our new partnership, rooted in the Express management team’s past success and Sterling’s deep knowledge and experience, will effectively drive the transformation of the company in its next phase of growth,” said Terry Cowan, who will remain CEO of Express.

“Over the past 30 years, the Cowan family has successfully developed Express into a leader in the design and fabrication of key process units that serve the North American energy industry,” said Kevin Garland, a Partner of The Sterling Group. “Management has earned a best-in-class reputation based on the company’s engineering capabilities, superior product performance and customer service. We at Sterling are truly excited to acquire an industry leading franchise and partner with management in order to grow the business and create value for all shareholders.”

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, industrial services and distribution companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of 38 platform companies and numerous add-on acquisitions for a total transaction value greater than $8.6 billion. Currently, Sterling has $1.3 billion of committed capital under management through three funds. Current portfolio companies include North American Energy Partners Inc., CST Industries, Inc., Roofing Supply Group, LLC, Universal Fiber Systems, LLC, Velcon Filters, LLC and B&G Crane Services, LLC.



Acquisition

Houston, TX July 29, 2010

The Sterling Group, L.P. Completes Acquisition of B&G Crane Services

The Sterling Group, L.P. (“Sterling”), a Houston-based private equity investment firm, today announced that it has completed the acquisition of B&G Crane Services, LLC (“B&G”). The acquisition was financed with equity primarily from Sterling Group Partners II, L.P. and debt financing from Wells Fargo Capital Finance, BNP Paribas, Capital One Leveraged Finance and Whitney Bank.

Headquartered in New Orleans, Louisiana, B&G specializes in providing fully operated and maintained crane services, heavy rigging and specialty hauling services in the Louisiana Gulf Coast region. The Company has a fleet of over 100 cranes ranging from 6 to 825 tons in capacity and a truck fleet of over 50 vehicles. The Company’s crane rental fleet consists primarily of rough terrain, lattice boom truck cranes, crawler cranes and hydraulic truck cranes. The specialty hauling division includes modular platform trailers, gantry lift systems and specialty truck hauling capabilities. B&G’s primary market consists of petrochemical, refining and industrial customers within a 150 mile radius of the Company’s New Orleans and Baton Rouge facilities.

B&G was founded in 1946 by Xavier J. Grilletta Sr. His son, Xavier J. Grilletta Jr., has been CEO since 2007 and has worked for B&G for more than 32 years. The Grilletta family and members of management will continue to be meaningful shareholders in B&G in partnership with Sterling. “B&G has spent over 60 years building a blueprint for success in the crane and heavy rigging industry throughout Southern Louisiana. We are thrilled to combine forces with The Sterling Group and duplicate this success in other regions of the Gulf Coast. Our combined experience and resources create great opportunities for growth and continued success in the industry,” said Xavier J. Grilletta Jr., who will remain CEO of B&G and continue working alongside other family members and senior management.

“Xavier, his family and their employees have established a tremendous reputation over the last 64 years for providing safe and efficient crane services in the Louisiana Gulf Coast region. We look forward to working with Xavier and the rest of the management team to continue to provide outstanding service to B&G’s customers and grow the business,” said Kent Wallace, a Partner of The Sterling Group. “B&G has significant growth opportunities both in its core Louisiana market and in the Texas Gulf Coast and Mississippi Gulf Coast markets.”

About The Sterling Group, L.P.
Founded in 1982, The Sterling Group is a private equity investment firm that targets controlling interests in basic manufacturing, industrial services and distribution companies. Typical enterprise values of these companies range from $100 million to $500 million. Sterling has sponsored the buyout of 37 platform companies and numerous add-on acquisitions for a total transaction value greater than $8.5 billion. Currently, Sterling has $1.3 billion of committed capital under management through three funds. Current portfolio companies include North American Energy Partners Inc., CST Industries, Inc., Roofing Supply Group, LLC, Universal Fiber Systems, LLC and Velcon Filters, LLC.