News

Acquisition

Houston, TX September 20, 2019

Tangent Technologies, a Portfolio Company of The Sterling Group, Completes Two Acquisitions

The Sterling Group, a Houston-based middle market private equity firm, announced that its portfolio company, Tangent Technologies, has completed the acquisitions of Home & Leisure and Vinyl Tech. Headquartered in Aurora, Illinois, Tangent is a leading manufacturer of high-density polyethylene (“HDPE”) lumber used for outdoor furniture, site amenities, structural applications, and marine decking. In recent years, HDPE lumber has become a leading substitute for traditional building materials in outdoor furniture and other applications given its durability and aesthetics. Tangent uses post-consumer recycled milk bottles as a primary raw material along with many other post-industrial recycled waste streams.

Home & Leisure is a vertically-integrated extruder, fabricator, and assembler of plastic lumber furniture focused on the mass market casual furniture industry. Vinyl Tech is Tangent’s long-time fulfillment provider with two distribution facilities, serving furniture and playground builders primarily located in Ohio, Pennsylvania, and Indiana. The acquisitions will further Tangent’s capabilities in sheet manufacturing, fabrication and assembly, as well as in distribution and fulfillment for key geographies. Together these capabilities will further enhance Tangent’s abilities to serve its current customer base.

“We are excited to partner with Tangent to expand production capacity and tap into their extrusion and base material expertise,” said Doug Holmstead, founder of Home & Leisure.

“Our company has been doing business exclusively with Tangent since 2006, and we are excited to further formalize our close partnership by adding new warehousing capabilities and expanding our footprint in Ohio and Pennsylvania,” said Eugene Miller, founder of Vinyl Tech.

The management teams and employee bases of Home & Leisure and Vinyl Tech are remaining in place to drive and support the continued expansion of both organizations. Doug Holmstead, founder of Home & Leisure, and Eugene Miller, founder of Vinyl Tech, both will continue to serve as leaders respectively.

“Having founded Tangent in 2003, I am excited to partner with two strong founder-led organizations to collectively serve our customers with enhanced capabilities and industry-leading innovation” said Guy DeFeo, CEO of Tangent.

Tangent will continue to pursue further acquisitions in support of its strategy to be the world-leader in wood alternative material manufacturing.

About The Sterling Group

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 $750 million. Sterling has sponsored the buyout of 55 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $2.0 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.



Acquisition

Houston, TX September 03, 2019

Construction Supply Group, a Portfolio Company of The Sterling Group, Completes Two Acquisitions

The Sterling Group, a Houston-based middle market private equity firm, announced that its portfolio company, Construction Supply Group (“CSG”), has completed the acquisitions of Holdfast and Concrete Accessories & Rentals. The businesses are single branch distributors in Medway, Ohio and Bozeman, Montana, respectively.

Construction Supply Group is a leader in the distribution of specialty construction materials, accessories and tools, primarily for professional concrete and masonry contractors in the United States and Canada. The company holds the clear number two position in the industry and is four times larger than its next closest competitor. The company has over 125 branches with approximately 1,550 employees and offers over 60,000 SKUs to nearly 50,000 customers.

The addition of Holdfast provides enhanced scale in the Dayton, Ohio MSA as well as an expertise in insulated concrete forms. The Concrete Accessories & Rentals acquisition provides a new presence in the fast growing Northern Rocky Mountain region. “Construction Supply will continue to partner with market leading construction supply specialists, expanding our footprint in attractive geographies and enhancing the capabilities that we can offer customers across North America,” said Mitch Williams, CEO of Construction Supply Group.

About The Sterling Group

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 $750 million. Sterling has sponsored the buyout of 55 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $2.0 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.



News

Houston, TX July 16, 2019

The Sterling Group Named in Inc’s List of The 50 Best Private Equity Firms for Entrepreneurs

Sterling was recently named on the Inc list of Top 50 Founder Friendly Private Equity firms. Sterling has been partnering with founders and entrepreneurs for 37 years.

Link to article: https://lnkd.in/gfA2QMp



Acquisition

Southlake, TX June 05, 2019

Artisan Design Group, a Portfolio Company of The Sterling Group, Completes the Acquisition of Heritage Carpet & Tile

Artisan Design Group (“ADG”), a portfolio company of The Sterling Group, today announced the acquisition of Heritage Carpet & Tile, LLC (“Heritage” or the “Company”). ADG is a dealer of flooring products and services, providing design, procurement, installation and quality control of flooring and complimentary products for homebuilders and multi-family developers.

Heritage is a leading provider of design center and installation services for flooring and complimentary products such as shower enclosures, mirrors and window treatments in Southern Florida. For over 30 years, Heritage has been offering exceptional customer service and reliable installation to its homebuilder customers. The Company is headquartered in Boynton Beach, Florida and has further locations in Fort Pierce, Naples and Sarasota. “We are very pleased to be teaming up with ADG. Their broad reach and experience across a variety of product categories will support us in continuing our strong growth. Furthermore, as a family business, we were also looking for a partner with the right cultural fit that will allow us to continue our focus on local customer service and execution,” said Randy Smith CEO and President of Heritage.

“We are excited to welcome Heritage Carpet & Tile to Artisan Design Group. We continuously strive to enhance our capabilities to better serve our customers, and through Heritage we will expand our geographic footprint to the important Florida market. The Heritage team has built an impressive company and we are proud to be partnering with them,” said Larry Barr and Wayne Joseph, Co-CEOs of ADG.

Headquartered in Southlake, Texas, ADG operates more than 65 distribution, design and service facilities and coordinates installation through over 1,250 independent contractors across 17 states. ADG was formed in 2016 through the combination of Floors Inc. and Malibu. The acquisition of the Heritage represents ADG’s fourth acquisition over the past six months under Sterling’s ownership. The company has completed twelve total acquisitions in the past two years. ADG continues to seek local and regional market leaders to add to its family of flooring specialists.

About The Sterling Group

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 $750 million. Sterling has sponsored the buyout of 56 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $1.9 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.



Acquisition

Houston, TX May 07, 2019

Construction Supply Group, a Portfolio Company of The Sterling Group, Completes Three Acquisitions

The Sterling Group, a Houston-based middle market private equity firm, announced that its portfolio company, Construction Supply Group (“CSG”), has completed the acquisitions of Best Materials, Advantage Construction Supply and Spec-West Concrete Systems. Best Materials is a construction supply e-commerce platform based in Phoenix, Arizona. Advantage and Spec-West are concrete and construction supply providers with a combined four branches in California.

Construction Supply Group is a leader in the distribution of specialty construction materials, accessories and tools, primarily for professional concrete and masonry contractors in the United States and Canada. The company holds the clear number two position in the industry and is four times larger than its next closest competitor.  The company has over 100 branches with over 1,300 employees and offers over 60,000 SKUs to nearly 50,000 customers.

With these additions, Construction Supply Group will have the leading market position in the Sacramento, California market and will have a further enhanced e-commerce capability. The three acquisitions result in a total of sixteen regional businesses acquired under Sterling’s ownership.

“We’re looking forward to drawing on the unique strengths of these three organizations as we continue to build Construction Supply Group towards our vision serving as North America’s leading construction supply distributor,” said Mitch Williams, CEO of Construction Supply Group. “This is a great opportunity to further strengthen existing market positions and add capabilities to better serve our customers.” Construction Supply Group will continue to seek further additions to its family of specialty construction supply distribution businesses.

About The Sterling Group

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 $750 million. Sterling has sponsored the buyout of 55 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $1.8 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.



Acquisition

Southlake, TX May 03, 2019

Artisan Design Group, a Portfolio Company of The Sterling Group, Completes the Acquisition of Vintage Design and Nu Wood Design

Artisan Design Group (“ADG”), a portfolio company of The Sterling Group, today announced the acquisition of Vintage Design, LLC (“Vintage Design”) and Nu Wood Design, LLC (“Nu Wood”) (collectively, the “Companies”).  ADG is a dealer of flooring products and services, providing design, procurement, installation and quality control of flooring and complimentary products for homebuilders and multi-family developers.

Vintage Design is a leading provider of design and installation services for flooring products in the California market. Nu Wood is a full service manufacturer and installer of cabinetry which primarily serves Vintage Design’s single family homebuilder customers. The Companies are based in Lake Forest, CA. “As a family-owned business, we wanted to find a trusted partner who could support us in our continued strong growth and focus on serving our customers,” said Tim Buckley, CEO of Vintage Design and Nu Wood. “Working with ADG is the perfect next step for our customers, our employees and our family.”

“We are excited to be partnering with Vintage Design and Nu Wood. Tim and his team have built two great companies, each with an outstanding culture and a reputation for providing excellent service, a perfect fit with Artisan Design Group. We look forward to the many benefits each of our respective businesses will enjoy from being partners,” said Larry Barr and Wayne Joseph, Co-CEOs of ADG.

Headquartered in Southlake, Texas, ADG operates more than 50 distribution, design and service facilities and coordinates installation through over 1,250 independent contractors across 16 states. ADG was formed in 2016 through the combination of Floors Inc. and Malibu. The acquisition of the Companies represents ADG’s eleventh acquisition in the past two years. The company continues to seek local and regional market leaders to add to its family of flooring specialists.

About The Sterling Group

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 $750 million. Sterling has sponsored the buyout of 55 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $1.9 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.



Acquisition

Southlake, TX April 04, 2019

Artisan Design Group, a Portfolio Company of The Sterling Group, Completes the Acquisition of Markraft Cabinets

Artisan Design Group (“ADG”), a portfolio company of The Sterling Group, today announced the acquisition of Markraft Cabinets, LLC (“Markraft Cabinets”).  ADG is a dealer of flooring products and services, providing design, procurement, installation and quality control of flooring and complimentary products for homebuilders.

Headquartered in Wilmington, North Carolina, Markraft Cabinets is a leading provider of design and installation services for cabinetry and countertops in North Carolina, South Carolina and Tennessee. “We are excited to join the ADG family of companies because of our shared entrepreneurial cultures and focus on providing excellent selection and service to customers,” said Joe Jacobus, CEO of Markraft Cabinets.

“We see this expansion into cabinets and countertops, and in particular in the Carolinas and Tennessee, as an integral part of the growing ADG platform. Joe and the Markraft Cabinets team have grown the company into a clear leader in its markets, and we look forward to the many benefits each of our respective businesses will enjoy from being partners,” said Larry Barr and Wayne Joseph, Co-CEOs of ADG.

Headquartered in Southlake, Texas, ADG operates more than 40 distribution, design and service facilities and coordinates installation through over 1,000 independent contractors across 15 states. ADG was formed in 2016 through the combination of Floors Inc. and Malibu. The acquisition of Markraft Cabinets represents ADG’s tenth acquisition in the past two years. The company continues to seek local and regional market leaders to add to its family of flooring specialists.

About The Sterling Group

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 $750 million. Sterling has sponsored the buyout of 55 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $1.9 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.



Acquisition

Houston, TX March 15, 2019

The Sterling Group Completes the Acquisition of Polychem Corporation

The Sterling Group, an operationally focused middle market private equity firm, today announced the acquisition of Polychem Corporation.  Polychem is a leading manufacturer of polyester (“PET”) and polypropylene strapping in the North American securement packaging industry.  The company manufactures polyester (“PET”) and polypropylene strapping consumables, securement equipment and related products, serving the food and beverage, consumer packaged goods, and industrial industries.

Headquartered in Mentor, Ohio, Polychem has operated as a family business since the 1980s. Polychem is vertically integrated, operating a PET recycling facility which processes bales of post-consumer PET, converting them for use in Polychem’s strapping extrusion lines and for external sale to consumer packaged goods companies. Polychem also manufactures and sells a variety of securement packaging equipment to complement its consumable offering.

“We look forward to working with Polychem to continue to build on the company’s long history of successfully serving customers with quality products and innovative securement solutions,” said Gary Rosenthal, a Partner at The Sterling Group.

The Sterling Group has extensive experience in the packaging sector, including previous investments in Liqui-Box, Exopack and Saxco.

 

About The Sterling Group

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 $750 million. Sterling has sponsored the buyout of 55 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $1.9 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.



Sales

Houston, TX March 06, 2019

The Sterling Group Completes the Sale of Process Barron

The Sterling Group, an operationally focused middle market private equity firm, today announced that it has completed the sale of Process Barron to funds managed by Carousel Capital.

Headquartered in Birmingham, Alabama, Process Barron designs, manufactures and installs industrial process fans and material handling systems and provides follow-on service and maintenance for this equipment. Process Barron serves various industries including pulp and paper, power, steel, cement, food, and agriculture.

Sterling partnered with Process Barron’s management team, members of its founding family, in 2015.  “Important to our family was the right cultural fit and the ability to reinvest alongside our partners,” said Ken Nolen, CEO of Process Barron.  “Sterling has been the right partner for our family and for all employees. We look forward to future continued growth with Carousel Capital.”

Founded in 1982, Sterling has a long history of partnering with family owned businesses.  Recent family or entrepreneur owned partnerships include those with Tangent Technologies, Time Manufacturing, Construction Supply Group, and Evergreen North America.

Terms of the transaction were not disclosed. Houlihan Lokey and Willkie Farr & Gallagher advised Sterling on the transaction.

About The Sterling Group

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 $750 million. Sterling has sponsored the buyout of 54 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $1.9 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.



Acquisition

Houston, TX March 04, 2019

Artisan Design Group, a Portfolio Company of The Sterling Group, Completes the Acquisition of Builders Wholesale Flooring

Artisan Design Group (“ADG”), a portfolio company of The Sterling Group, today announced the acquisition of Builders Wholesale Flooring (“Builders Wholesale” or the “Company”).  ADG is a dealer of flooring products and services, providing design, procurement, installation and quality control of flooring and complimentary products for homebuilders.

Headquartered in Columbia, South Carolina, Builders Wholesale is the leading provider of flooring products and services in the Carolinas region. “We decided to join the ADG family because of our shared values which center on a commitment to providing customers with best in class flooring selections and service,” said Wayne Martin, President of Builders Wholesale.

“Wayne and the Builders Wholesale team have grown Builders Wholesale into a clear leader in its markets with an entrepreneurial culture and a reputation for excellence, a perfect fit with Artisan Design Group. We welcome Builders Wholesale to the ADG family and look forward to the many benefits each of our respective businesses will enjoy from being partners,” said Larry Barr and Wayne Joseph, Co-CEOs of ADG.

Headquartered in Southlake, Texas, ADG operates more than 40 distribution, design and service facilities and coordinates installation through over 800 independent contractors across 13 states. ADG was formed in 2016 through the combination of Floors Inc. and Malibu. The acquisition of Builders Wholesale represents ADG’s ninth acquisition in the past two years. The Company continues to seek local and regional market leaders to add to its family of flooring specialists.

About The Sterling Group

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 $750 million. Sterling has sponsored the buyout of 54 platform companies and numerous add-on acquisitions for a total transaction value of over $10.0 billion. Currently, Sterling has over $1.9 billion of assets under management. For further information, please visit www.sterling-group.com.

Past performance is no guarantee of future results and all investments are subject to loss.