Monomoy Capital Partners, a private investment firm with $1.6 billion in committed capital in a family of investment funds, has completed the acquisition of Sportech, Inc., the leading supplier of cab components for side-by-sides. Terms of the transaction were not disclosed. Monomoy makes investments in the debt and equity of middle market businesses that can benefit from operational and financial improvement.
Sportech was founded by Chris Carlson in 1994 and is headquartered in Elk River, Minnesota. Sportech designs, manufactures and assembles cab components and systems for the powersports, golf and turf, industrial and agricultural end markets. Sportech’s design and engineering capabilities allow the company to provide complex components and assemblies to the largest original equipment manufacturers of side-by-sides in North America. The business operates three facilities in Minnesota and employs approximately 325 team members.
"We would like to congratulate and thank Chris Carlson for building a market leading business and organization," said Dan Collin, Monomoy co-CEO and partner. "Sportech is a proven, highly-regarded supplier to its blue-chip customer base and is well-positioned to grow over the next several years. Monomoy is excited to partner with the Sportech management team and to collaborate with the company to drive long-term value for all of its stakeholders."
“Monomoy’s focus on operational excellence aligns well with the high-performance culture at Sportech,” said Carlson, the founder of Sportech. “The Carlson family is excited to see what the future holds for the great people of Sportech as they partner with Monomoy to build upon Sportech’s strong legacy of growth and positive community impact.”
“We are pleased to add Sportech to our portfolio,” said Justin Hillenbrand, Monomoy co-CEO and partner. “Sportech has demonstrated an ability to distinguish itself as a critical supplier to UTV manufacturers and has great potential for future growth.”
Upon closing of the transaction, Jim Glomstad, the company’s current chief operating officer, will assume the role of chief executive officer of Sportech.
"The Sportech team looks forward to working with Monomoy, whose resources and capabilities will allow us to advance our strategic and operational initiatives," said Glomstad. “We are excited to begin the next phase in our evolution as a company and to continue growing with our market-leading customer base.”
Monomoy acquired Sportech through, Monomoy Capital Partners III, L.P. Cerberus Business Finance provided acquisition financing for the transaction; Kirkland & Ellis LLP provided Monomoy with legal counsel; and Alvarez & Marsal, LLC completed financial, accounting and information technology diligence for Monomoy.
BMO Capital Markets acted as the exclusive financial advisor to Sportech, Inc. in the sale and Faegre Baker Daniels LLP provided legal counsel to Sportech.