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Platinum Equity to Acquire Wire Harness and Electrical Distribution Business from Alcoa
Home / News / Platinum Equity To Acquire Wire Harness And Electrical
Signing Comes as Platinum Announces Separate Acquisition of Canvas Systems LLCLOS ANGELES, CA (April 30, 2009) – Platinum Equity today announced that it has signed a definitive agreement to purchase the wire harness and electrical distribution business of Alcoa (NYSE:AA). Financial terms of the acquisition were not disclosed. The transaction is expected to be completed by the end of the second quarter of 2009.Separately, Platinum also announced today that it has acquired a majority stake in Canvas Systems LLC, a global supplier of used and refurbished enterprise-class IT equipment and services. A press release announcing details of the Canvas acquisition is available at www.platinumequity.com.The Alcoa transaction is one of several pending deals in Platinum’s pipeline, including the recently announced acquisition of the San Diego Union-Tribune, which is expected to close during the second quarter.“Many businesses are struggling and need a partner with a steady hand, deep operational expertise and the ability to navigate through these times,” said Platinum Equity Chairman and CEO Tom Gores. “We’re fortunate to have the knowledge, experience and capital required right now to help these businesses survive, and to be positioned to thrive when the markets eventually rebound.”The wire harness and electrical distribution business is the largest piece of Alcoa’s Electrical and Electronic Solutions division, and its customers include major domestic and international automotive original equipment manufacturers and tier-one suppliers. The sale includes operations in 13 countries and involves approximately 17,500 employees.“The automotive sector plays well to our strengths,” said Phil Norment, partner at Platinum responsible for all aspects of business strategy and operations at Platinum’s portfolio companies. “It’s an industry requiring transformation, yet filled with hard-working, talented people committed to rolling up their sleeves and getting the job done. We’ve spent the last several years working in and around the auto industry and believe strongly in its potential to thrive.”Platinum’s current portfolio includes Acument Global Technologies, a full-service provider of fastening systems to the automotive, aerospace, construction, electronics, industrial equipment and non-automotive transportation industries that Platinum acquired from Textron in 2006.Other Platinum operating companies with significant automotive-related business include 3B Fibreglass, a manufacturer of thermoplastics and reinforced fibreglass products, and DyStar, a manufacturer of high-quality textile dyestuffs, leather and other specialty textile auxiliary products.Platinum’s M&A&O® approach to investing focuses on acquiring businesses that need operational support and can benefit from Platinum’s extensive in-house capabilities and expertise in transition, integration and operations. Through nearly 100 acquisitions in the complex operational turnaround market, the firm has a consistent record of value creation.About Platinum EquityPlatinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, metals services, manufacturing and distribution. Since its founding in 1995 by Tom Gores, Platinum Equity has completed nearly 100 acquisitions with more than $27.5 billion in aggregate annual revenue at the time of acquisition.
Platinum Equity to Acquire the San Diego Union-Tribune from the Copley Press, Inc.
Home / News / Platinum Equity To Acquire The San Diego Union Tribune From
SAN DIEGO and BEVERLY HILLS, CA – March 18, 2009 – The Copley Press, Inc. and Platinum Equity announced today that they have signed a definitive agreement under which an affiliate of Platinum will acquire San Diego’s leading daily newspaper, The San Diego Union-Tribune.The transaction, which is expected to be completed during the second quarter, culminates a sales process that began in July 2008 when Copley announced it had engaged an adviser to explore strategic alternatives for the newspaper.Harold W. Fuson, Jr., executive vice president for Copley, said that Platinum Equity emerged from that process as the bidder best equipped to ensure that the Union-Tribune – which last changed owners in 1928 – maintains its position as one of San Diego’s leading community institutions.“This is a vital business with a long tradition of public service and a preeminent position in one of America’s finest media markets,” Mr. Fuson said. “At this important juncture, we believe that Platinum Equity is the right partner for the Union-Tribune, its employees and the San Diego community.”Platinum is a private equity firm that specializes in acquiring businesses facing complex operational challenges in declining or transitioning markets. Louis Samson, the Platinum Equity principal leading the acquisition, called the Union-Tribune “a good fit for Platinum” and its operations-focused approach.“We have a long history of creating value by helping established companies navigate difficult market transitions,” Mr. Samson said. “The Union-Tribune is more than a business, it’s an institution in San Diego. But it faces enormous challenge in a period of tremendous upheaval for the newspaper industry. We will bring a strong operational focus that helps ensure the Union-Tribune not only survives in this market, but thrives.”The Platinum team includes David H. Black, an experienced newspaper owner and operator whose holdings include more than 150 newspapers and websites in the United States and Canada.“The Union-Tribune is a premier media property in an outstanding market,” Mr. Black said. “We are extremely excited about partnering with the management team and dedicated employees of the Union-Tribune, and building this franchise for the future.”Financial terms of the transaction were not disclosed. Evercore Partners and Munger, Tolles & Olson LLP advised Copley on the transaction. Platinum Equity was advised by Hughes Hubbard & Reed and Alvarez & Marsal’s Transaction Advisory Group.About Platinum EquityPlatinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, metals services, manufacturing and distribution. Since its founding in 1995 by Tom Gores, Platinum Equity has completed nearly 100 acquisitions with more than $27.5 billion in aggregate annual revenue at the time of acquisition.
Platinum Equity Acquires Majority Stake in DAUM Commercial Real Estate Services
Home / News / Platinum Equity Acquires Majority Stake In Daum Commercial
LOS ANGELES, CA – DAUM Commercial Real Estate Services announced today that Platinum Equity has purchased a majority stake in the company. Terms of the transaction were not disclosed.“Joining forces with Platinum Equity will create tremendous opportunities for our company, our customers and our shareholders,” said Michael Nubel, Chief Executive Officer of DAUM Commercial Real Estate Services. “Our team has worked hard to successfully expand DAUM’s reach and service lines to meet the ever-changing needs of our clients in today’s global economy. We are now entering a new phase and partnering with Platinum Equity will unlock even greater possibilities.”Founded in 1904, DAUM has 10 offices throughout Southern California and Arizona. The company provides a full array of commercial real estate services, including brokerage, consulting, leasing, sales and property management.“DAUM is a respected brand with talented people and an impressive, long-standing track record,” said Brian Wall, partner at Platinum who oversaw the investment. “DAUM’s management team has proven its ability to consistently deliver exceptional customer service and despite a difficult economic environment we believe that the company is positioned to achieve long-term growth.”Platinum’s M&A&O® approach to investing focuses on acquiring businesses that need operational support to realize their full potential and can benefit from Platinum’s extensive in-house capabilities and expertise in transition, integration and operations. Through nearly 100 acquisitions in the complex operational turnaround market, the firm has a consistent record of value creation.Mr. Wall said the DAUM investment is a natural fit for Platinum’s approach.“We have had a lot of success creating value inside companies that are navigating difficult industry dynamics,” explained Mr. Wall. “Platinum’s operations expertise will further strengthen DAUM’s ability to manage its business through continued uncertainty, while our business development resources and access to capital can propel DAUM to new levels. We look forward to helping DAUM capitalize on strategic add-on opportunities and partnerships in the commercial real estate services industry.”Mr. Nubel said he believes Platinum will make a strong partner.“Platinum shares the same fundamental commitment to innovation and exceptional customer service that has guided DAUM for more than 100 years,” said Mr. Nubel.About DAUMDAUM Commercial Real Estate Services provides a full array of commercial real estate services including brokerage, consulting, leasing, sales, corporate services and asset, construction, project and property management. Founded in 1904, DAUM is California’s oldest and most experienced commercial real estate brokerage company. DAUM has 10 offices throughout Southern California and Arizona. More information is available at www.daumcommercial.com.DAUM Commercial Real Estate Services is a member of ONCOR International, a premier global commercial real estate network. ONCOR International members represent over 50 independent commercial real estate brokerages, with more than 2,200 associates, in over 170 offices throughout 32 countries. In 2007 ONCOR International members were collectively responsible for approximately $38.4 billion in commercial real estate volume and over 17,000 commercial real estate transactions. ONCOR International LLC, a subsidiary of Realogy Corporation, oversees the ONCOR International member network. More information is available at www.oncorintl.com.About Platinum EquityPlatinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, metals services, manufacturing and distribution. Since its founding in 1995 by Tom Gores, Platinum Equity has completed nearly 100 acquisitions with more than $27.5 billion in aggregate annual revenue at the time of acquisition.
Platinum Equity Completes Purchase of SCM Metal Products
Home / News / Platinum Equity Completes Purchase Of Scm Metal Products
FOR IMMEDIATE RELEASELOS ANGELES (November 11, 2008) – Platinum Equity announced today it has completed the acquisition of SCM Metal Products, Inc. from Gibraltar Industries, Inc. (NASDAQ: ROCK). Details of the transaction were not disclosed. SCM is a global leader in the manufacturing and distribution of copper-based powder and pastes and copper oxide powders to a broad range of industries.“Platinum is very excited about the acquisition of SCM Metals,” said Jacob Kotzubei, the Platinum partner who led the SCM transaction. “We are eager to collaborate with SCM’s management team, employees, customers and other partners to create new enterprise value and help SCM reach its full potential.”On October 9, 2008 Platinum first announced it had signed a definitive agreement to purchase SCM from Gibraltar.“Gibraltar sought to sell the SCM business in order to focus on core operating segments,” explained Kotzubei. “Together we formulated a divestiture solution to fit their needs and worked quickly to close the transaction. We’re now focused on transitioning the business into a standalone organization and we expect that to be a seamless process.”Kotzubei also explained how the current economic environment is presenting great opportunities for Platinum.“With the continued economic downturn and extreme market volatility, many sellers are under increasing pressure to address liquidity challenges and re-focus their business strategies. The opportunities for operations specialists who can react swiftly to changing market conditions and create value in non-core, underperforming or otherwise distressed assets are increasing rapidly,” explained Kotzubei. “Platinum’s agility, access to capital, and demonstrated skill in transitioning and operating businesses position us well to succeed in this market.”In September 2008 Platinum Equity announced the closing of a $2.75 billion leveraged buyout fund focused on acquiring businesses that can benefit from Platinum’s operational expertise and resources.About Platinum EquityPlatinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, metals services, manufacturing and distribution. Since its founding in 1995 by Tom Gores, Platinum Equity has completed nearly 100 acquisitions with more than $27.5 billion in aggregate annual revenue at the time of acquisition.About SCM:SCM Metal Products, Inc. (www.scmmetals.com) is a global leader in the manufacturing and distribution of copper based powder and pastes and copper oxide powders to a wide array of industries. SCM has manufacturing facilities in Research Triangle Park, N.C. and Suzhou, China.
Platinum Equity to Purchase SCM Metal Products from Gibraltar
Home / News / Platinum Equity To Purchase Scm Metal Products From
LOS ANGELES, CA (October 9, 2008) – Platinum Equity announced today it has signed a definitive agreement to purchase SCM Metal Products, Inc. from Gibraltar Industries, Inc. (NASDAQ: ROCK) for an undisclosed amount. SCM is a global leader in the manufacturing and distribution of copper-based powder and pastes and copper oxide powders to a broad range of industries.“This is a very exciting time for all of us at SCM,” said Barton White, President of SCM. “We expect to have additional resources to grow our business both organically and through M&A transactions. There are many opportunities for growth in the U.S., China and the other export markets SCM serves in the powder metallurgy, chemical, electronics and industrial markets. I know that Platinum Equity shares my enthusiasm for the future and their support will be critical to our success.”Jacob Kotzubei, the Platinum partner who led the SCM transaction, explained that SCM is well suited for Platinum’s operations-intensive approach.“SCM is a market leader with a strong customer base and an experienced management team, and its parent company is divesting the business to focus on other core operating segments,” said Mr. Kotzubei. “We have a strong track record of helping companies like SCM reach their full potential.”Mr. White noted that Platinum’s resources and commitment to growth are a perfect fit for SCM.“Platinum and I share the same vision for growing SCM through exceptional customer service, innovative product development and smart strategic investments,” said Mr. White.Platinum’s acquisition of SCM is the latest in a series of successful investments Platinum has made in the industrial and metals services industry.- In August 2008 Platinum sold PNA Group, a leading processor and distributor of metals products, to Reliance Steel & Aluminum Co. (NYSE:RS) in a transaction valued at approximately $1.1 billion. Platinum acquired PNA Group in May 2006 and created substantial value in the business through a combination of operational initiatives and add-on acquisitions.- In October 2007 Platinum sold ESM Group, which supplies a variety of products and services to the steel industry, to SKW Metallurgie following a comprehensive reorganization in which Platinum established ESM as a strong standalone company.- In October 2007 Platinum acquired Ryerson Inc., one of the largest metals service center providers in North America with revenue of approximately $6 billion. Ryerson is currently in the process of executing a turnaround plan focused on improving customer service, achieving operational excellence and increasing profitability.Bingham McCutchen served as legal adviser to Platinum Equity on the acquisition of SCM from Gibraltar.About Platinum EquityPlatinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, metals services, manufacturing and distribution. Since its founding in 1995 by Tom Gores, Platinum Equity has completed nearly 100 acquisitions with more than $27.5 billion in aggregate annual revenue at the time of acquisition.About SCM:SCM Metal Products, Inc. (www.scmmetals.com) is a global leader in the manufacturing and distribution of copper based powder and pastes and copper oxide powders to a wide array of industries. SCM has manufacturing facilities in Research Triangle Park, N.C. and Suzhou, China.
Platinum Equity Closes $2.75 Billion Private Equity Fund
Home / News / Platinum Equity Closes 2 75 Billion Private Equity Fund
LOS ANGELES, CA (September 3, 2008) – Substantially exceeding its original target, Platinum Equity today announced the closing of a $2.75 billion leveraged buyout fund focused on acquiring businesses that can benefit from Platinum’s operational expertise and resources. Platinum launched fundraising with a target of $1.5 billion in committed capital, but strong investor demand and a rising tide of deal opportunities compelled the firm to increase the fund size to $2.75 billion for Platinum Equity Capital Partners II (“Fund II”). Fund I’s performance was at the top of its peer group worldwide. Alongside Fund II, Platinum has committed to make a substantial co-investment that will increase the new fund’s available capital to well over $3 billion. Separate from Fund II, the firm continues to control a multibillion-dollar asset base comprising both predecessor fund and Platinum legacy investments. “We are very pleased with the response from investors and appreciate their support,” said Tom Gores, Chairman and CEO of Platinum Equity. “We hope to be just as successful with this new fund as we have been in the past, but this is no time for us to rest on our track record,” Mr. Gores said. “We need to remain smart and vigilant, and we intend to do so. We will continue to take good care of the assets our partners have entrusted us to invest on their behalf. “Our hands-on approach to operations works especially well in the current economic climate,” Mr. Gores added. “Our success in reacting to changing market conditions has always differentiated us.” Platinum’s M&A&O® approach to investing focuses on acquiring businesses that need operational support to realize their full potential and can benefit from Platinum’s extensive in-house capabilities and expertise in transition, integration and operations. Through nearly 100 acquisitions in the complex operational turnaround market, the firm has a consistent record of value creation. “We presented a stellar track record that was among the best in the world and created strong demand from investors,” said Mark Barnhill, the Platinum principal responsible for the firm’s capital raising and investor relations. “In this economy certain simple things resonate,” Mr. Barnhill said. “Institutional investors are looking for a strong investment team with a differentiated strategy and a proven ability to create value under both good and adverse conditions. We’ve worked hard to deliver all of those things.” Investors in the new fund include a diverse cross-section of public and private pension funds, financial institutions, university endowments and trusts in North America, Europe and Asia. Platinum’s current operations portfolio comprises 22 operating companies in a broad array of business markets, including information technology, telecommunications, logistics, chemical manufacturing, steel and metals services, industrial fastening systems and automotive products. Fund II has already made several investments. Notable Fund II acquisitions include Ryerson Inc., one of the largest metals service center operators in North America, acquired in a public-to-private transaction valued at approximately $2 billion; Covad Communications, a leading provider of voice and data communications products and services; 3B the Fibreglass Company, formerly Owens Corning’s composite materials manufacturing facilities in Battice, Belgium and Birkeland, Norway; and Maxim Crane, a crane equipment rental and services provider serving the non-residential construction market in North America. On Aug. 4, Platinum divested PNA Group, a national steel service center business, to Reliance Steel & Aluminum Co. in a transaction valued at approximately $1.1 billion. PNA was a Fund I investment. Citi acted as placement advisor and Simpson, Thacher & Bartlett LLP acted as legal advisor for the private placement of the Limited Partnership interests in Fund II. About Platinum Equity Platinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, metals services, manufacturing and distribution. Since its founding in 1995 by Tom Gores, Platinum Equity has completed nearly 100 acquisitions with more than $27.5 billion in aggregate annual revenue at the time of acquisition.
Platinum Equity Completes Sale of PNA Group
Home / News / Platinum Equity Completes Sale Of Pna Group
LOS ANGELES (August 4, 2008) – Platinum Equity announced today that it has completed the sale of portfolio company PNA Group, a leading processor and distributor of metals products, to Reliance Steel & Aluminum Co. (NYSE:RS) in a transaction valued at approximately $1.1 billion.The divestiture transaction was previously announced in June. Platinum acquired PNA Group in May, 2006 and created substantial value in the business through a combination of operational initiatives and add-on acquisitions. PNA’s revenue in 2007 was approximately $1.6 billion, up from approximately $1.2 billion in annual revenue when Platinum acquired the business.“PNA’s extraordinary value today is a reflection of strong leadership, hard work and an unrelenting focus on operational excellence,” said Tom Gores, Chairman and CEO of Platinum Equity. “PNA was an outstanding investment for Platinum and our investors, and will be a valuable asset to Reliance Steel & Aluminum.”In divesting the business, Platinum executives said their success with the PNA investment demonstrates the importance of a hands-on operational approach in the current economic environment.“This environment demands real hands-on operational skills,” said Jacob Kotzubei, the Platinum partner who led the PNA transaction. “You can’t leverage your way out of a problem, or rely on financial engineering to create a higher exit multiple. You have to be able to roll up your sleeves, execute on the ground to improve operations in a comprehensive way, and implement a growth strategy that creates real enterprise value. Platinum has the resources and the track record to execute that kind of operational strategy, and this investment, among others, demonstrates the success of that model.”About Platinum EquityPlatinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, metals services, manufacturing and distribution. Since its founding in 1995 by entrepreneur Tom Gores, Platinum Equity has acquired more than 80 businesses with more than $27.5 billion in aggregate revenue at time of acquisition.
Maxim Crane Works Announces Completion of Merger with Platinum Equity
Home / News / Maxim Crane Works Announces Completion Of Merger With
PITTSBURGH, July 2 /PRNewswire-FirstCall/ -- MAXIM CRANE WORKS HOLDINGS, INC. (OTC: MXMC.PK - News; "Maxim Crane") today announced that affiliates of Platinum Equity Capital Partners II, L.P. ("Platinum Equity") have completed the acquisition of Maxim Crane pursuant to the terms of the Merger Agreement it entered into on May 5, 2008. As part of the transaction, Platinum Equity acquired all of the outstanding shares of Maxim Crane for $42.50 per share. The Merger was approved at a Special Meeting of Stockholders on June 11, 2008.“Maxim Crane is the largest crane rental company in the world and a dominant player in its markets” said Louis Samson, the Platinum Equity principal who led the acquisition. “We are excited about Maxim Crane’s potential and look forward to partnering with a terrific management team on a strategy that will continue to drive the growth of the business”, Mr. Samson said. “We intend to support an aggressive acquisition program and play a significant role in the consolidation of this industry”.Commenting on the acquisition, Art Innamorato, Maxim Crane‘s Chief Executive Officer, stated, “We are very pleased to partner with Platinum Equity as we enter the next chapter in Maxim’s forty year history”. “Maxim Crane will continue to lead the industry in comprehensive crane and lift solutions” Mr. Innamorato said. “My management team looks forward to the execution of a strategic plan that will create value organically and via strategic acquisitions”.The Board of Directors was advised by Goldman, Sachs and Co. and Latham & Watkins LLP. Platinum Equity was advised by Wachovia Securities and Bingham McCutchen LLP. In connection with the transaction, Maxim Crane entered into a $500 million asset-based revolving credit facility, which was underwritten by Wachovia.About Maxim Crane: Maxim Crane, the nation's leading coast-to-coast, full-service crane rental and lift services company, currently operates over 35 branch offices in six regions. Maxim Crane specializes in the provision of cranes and other ancillary equipment. With Maxim Crane's expansive resource network, each branch has the capability to provide management, rigging engineering and outsourcing, making Maxim Crane's product and service offerings the most comprehensive in the industry. More information about Maxim Crane can be found on the company's website at www.maximcrane.com.About Platinum Equity: Platinum Equity (www.platinumequity.com) is a global M&A&O® firm specialized in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, manufacturing, metals services and distribution. Since its founding in 1995 by entrepreneur Tom Gores, Platinum Equity has completed more than 80 acquisitions with more than $24 billion in aggregate annual revenue at time of acquisition.Contact:Maxim CraneJoe Vaccarello(412) 504-0200
Platinum Equity Signs Agreement to Sell PNA Group
Home / News / Platinum Equity Signs Agreement To Sell Pna Group
LOS ANGELES (June 17, 2008) – Platinum Equity announced today that it has signed a definitive agreement to sell PNA Group, a leading processor and distributor of steel products, to Reliance Steel & Aluminum Co. (NYSE:RS) in a transaction valued at approximately $1.1 billion. The transaction is expected to be finalized within the next 60 days, subject to normal closing conditions including regulatory approval. Platinum acquired PNA Group in May, 2006 and created substantial value in the business through a combination of operational initiatives and add-on acquisitions. PNA’s revenue in 2007 was approximately $1.6 billion, up from approximately $1.2 billion in annual revenue when Platinum acquired the business. “We knew the business had enormous potential when we acquired it, and we were convinced that with strong leadership and the right operational focus, we could turn a good company into a great one,” said Tom Gores, Chairman and CEO of Platinum Equity. “We were fortunate to get Sandy [Nelson, CEO of PNA] to join us in this investment, and he and the entire PNA team helped us deliver on that promise. We look forward to Reliance Steel & Aluminum’s continued success with the business.” PNA Group processes steel and distributes it to fabricators, manufacturers and distributors, primarily in the United States. The company comprises several independent business units, each of which process and distribute to customers a variety of metal products including steel structural beams, channels, tubes and plates; coiled and rolled steel; and other structural steel products. Reliance Steel & Aluminum, based in Los Angeles, said the acquisition of PNA Group would complement its existing business and enhance its customer offerings. Platinum Equity executives said that while the firm does not disclose individual investment returns, the PNA Group investment has been very successful for Platinum and its institutional investors. “PNA has been a terrific investment for us from a return standpoint,” said Jacob Kotzubei, the partner who led the PNA investment. “It’s also proven to be a great example of our approach in identifying companies that need operational support to reach their full potential, and then unlocking value through a combination of both operational initiatives, add-on acquisitions and strong partnership with the management team.” Following the acquisition of PNA in May 2006, Platinum completed three add-on acquisitions that bolstered and expanded the company’s capabilities, acquiring Metals Supply Co., Precision Flamecutting and Steel, and Sugar Steel. Each of those acquisitions complemented operational initiatives underway inside the main PNA platform, Mr. Kotzubei said. PNA Group and its add-on acquisitions are among several successful industrial and metals services acquisitions Platinum Equity has made over the past three years, including: - In December 2005 the firm acquired ESM Group, which provides a variety of products and services to the steel industry, including desulphurization and secondary metallurgy services, caster segment maintenance, equipment design and manufacture. The seller was Degussa AG, a global specialty chemicals manufacturer based in Germany. After reorganizing the business and establishing it as a strong standalone company, Platinum sold ESM Group to a strategic acquirer, SKW Metallurgie, in October 2007. - In October 2007 the firm acquired Ryerson Inc., one of the largest metals service center providers in North America with revenue of approximately $6 billion. The Ryerson business is currently involved in the normal post-acquisition operational transition into the Platinum Equity portfolio. Legal advisers to Platinum Equity on the sale of PNA Group to Reliance Steel & Aluminum were James W. Loss and Todd Hentges of Bingham McCutchen. Financial advisers to Platinum Equity were Citi, Goldman Sachs & Co. and UBS Investment Bank. About Platinum Equity Platinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, metals services, manufacturing and distribution. Since its founding in 1995 by entrepreneur Tom Gores, Platinum Equity has acquired more than 80 businesses with more than $24 billion in aggregate revenue at time of acquisition.
Platinum Equity Integrates American Racing, Wheel Pros
Home / News / Platinum Equity Integrates American Racing Wheel Pros
Leading High Performance Wheel Brands Are United in Single Powerhouse CompanyLOS ANGELES (May 9, 2008) – Platinum Equity announced today the integration of American Racing and Wheel Pros, two leading distributors of high performance wheels and tires to the automotive aftermarket.The combined company will offer a comprehensive portfolio of wheel products comprising the industry’s best known and most enduring wheel brands, including the full lineup of existing American Racing and Wheel Pros products.“This is an incredibly powerful combination that unites two of the best names in the business,” said Rob Joubran, partner at Platinum Equity. “The pedigree of these two companies is unparalleled. Bringing them together under one roof will provide customers one-stop access to the best brands in the industry.”Randy White, a former American Racing executive who co-founded Wheel Pros in 1994, has been named Chief Executive Officer of the new company. Jody Groce, also a co-founder of Wheel Pros, has been named President.“This merger brings together two leading companies that deliver world-class products and services,” Mr. White said. “Together, we have more than two dozen brands and programs serving 25,000 customers in over 30 countries on six continents.”“Our customers will now have access to a single provider with an exceptional inventory of in-demand wheel products, a larger and more capable distribution network, and a diversity of product choices that represent the best-known wheel brands in the industry,” he said.The integrated distribution company will operate under the Wheel Pros name in the United States, and as American Racing overseas. It will continue to distribute product brands currently offered by the two companies, including:Wheel Products:- American Racing- American Racing Pro Series- American Racing Vintage- American Racing ATX Series- Alba- Asanti- Autocouture- Boyd Coddington Wheels- Carroll Shelby Legend Series- Dale Earnhardt Jr. Signature Series- Diamo- Dropstars- Helo- Ice Metal- KMC Wheels- Lexani- Lorenzo- Motegi Racing- Moto Metal Custom Alloys- OE Creations- Poison Spyder Customs- QT- Twenty Inches Strong- Venti and Venti Plus- Weld Racing- XD SeriesTire Products:- BFGoodrich- Falken- Michelin- Nitto Tire- Pirelli- Sumitomo TirePlatinum Equity acquired American Racing, the largest manufacturer and distributor of high performance aftermarket automotive wheels in North America, in July 2005. The firm acquired Wheel Pros, a leading competitor in the space, in March 2008.About Platinum EquityPlatinum Equity (www.platinumequity.com) is a global M&A&O® firm specializing in the merger, acquisition and operation of companies that provide services and solutions to customers in a broad range of business markets, including information technology, telecommunications, logistics, metals services, manufacturing and distribution. Since its founding in 1995 by Tom Gores, Platinum Equity has completed more than 80 acquisitions with more than $24 billion in aggregate annual revenue at the time of acquisition.
