Minneapolis, MN, November, 2016 – Spell Capital Partners, a leading lower middle market private equity firm, announces its investment in Deacro Industries Ltd. as Spell’s second platform investment in Spell Capital Partners Fund V.
The acquired business manufacturers slitting machines, roll slitters, rewinders and material handling equipment for the converting industry. As the industry leader in its field, Deacro is a good fit for Spell Capital, which has extensive experience in the capital equipment sector.
“Deacro has been in business for over 37 years and makes a fantastic machine; there’s tremendous value in that,” Bill Spell said. “Additionally, the converting/flexible packaging industry is growing and Deacro’s machines are critical components to any expansion plans.”
Ed de Boer, CEO of Deacro Industries, agreed that the acquisition is a good match for Deacro, its employees and customers.
“I’m very happy to be part of this transition and the company’s future growth,” Ed de Boer said. “The Spell investment will allow Deacro to take its business to the next level. Very exciting.”
Terms of the deal, which closed October 31, were not disclosed except that Spell will continue to operate Deacro out of its current manufacturing facility in Toronto, Ontario.
About Spell Capital Private Equity
Spell Capital Private Equity is engaged in the acquisition of controlling interests in well-managed, historically profitable industrial manufacturing businesses. We use our deep expertise in acquisitions and financing to collaborate with management and grow the businesses in which we invest – both internally and through add-on acquisitions.
About Spell Capital Mezzanine
Spell Capital Mezzanine provides subordinated debt and non-control equity to businesses in a variety of industries across the United States. We finance leveraged acquisitions backed by lower middle-market private equity sponsors, management and family driven ownership transitions, add-on acquisitions, recapitalizations and growth initiatives.
For more information about this transaction, please contact Paul Meyering, Senior Managing Director, at paul@spellcapital.com.