CapitalWorks

CapitalWorks Announces Relocation

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CLEVELAND, OH – CapitalWorks LLC is moving its offices downtown Cleveland to the Oswald Centre at 1100 Superior Avenue. The firm will begin operating out of the new location on December 19, 2016. CapitalWorks CEO Dick Hollington commented, “The new location will accommodate our firm’s needs and enable more networking opportunities. We are excited about the surge of activity happening in downtown Cleveland and we want to be part of it.” Working with Vocon, the firm designed the new space which will create a more collaborative environment. “With the firm’s continued success and growth, it forced us to evaluate our space needs as well as the integration of new technology” said CFO, Mike Harding.

The new CapitalWorks address is 1100 SUPERIOR AVENUE, 17TH FLOOR, SUITE 1725, CLEVELAND, OH. 44114. The company’s main phone number will remain the same – (216) 781-3233 as will all direct dial phone numbers and email addresses.

oswaldcentre-1

About CapitalWorks

CapitalWorks (capitalworks.net) is a Midwestern and family-focused private equity firm that encourage knowledgeable investors to partner with it in finding, vetting and owning companies. Based in Cleveland, Ohio, CapitalWorks acquires lower middle-market companies in the manufacturing, aerospace, specialty chemicals business services, and value added distribution industries and provides the capital, support and freedom to grow. Recent acquisitions include Paradigm Windows, Chemtron Corporation, Bancsource, Inc., Avtron Aerospace, Ripley Tools and Capewell Aerial Systems. Founded in 1999, the firm’s investors are primarily successful entrepreneurs and executives who contribute to the evaluation and investment process.

Dick Hollington, Managing Director and CEO
dhollington@capitalworks.net

Rob McCreary, Founder and Chairman
rmccreary@capitalworks.net

Mike Harding, Managing Director and CFO
mharding@capitalworks.net

Todd Martin, Managing Director
tmartin@capitalworks.net

CapitalWorks Announces New Team Promotions

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In recognition of their onging contributions to the firm, CapitalWorks is pleased to announce the promotions of Todd Martin, Mike Harding, John Corrigan and Matt Lombardo. Martin and Harding have been named managing directors, Corrigan and Lombardo vice president.

W. Todd Martin, Managing Director

Todd Martin, partner, CapitalWorks
Mr. Martin’s responsibilities include developing and maintaining relationships with investors and financial intermediaries, sourcing and executing transaction opportunities and stewarding portfolio company investments.

Mikel B. Harding, CPA, Managing Director, CFO


Mr. Harding is responsible for the internal financial management of CapitalWorks including investor communications regarding fund performance and tax compliance. Additionally, he manages the financial oversight of the portfolio companies and assists with acquisition due diligence, entity structure and tax planning strategies.

John P. Corrigan III, Vice President


Mr. Corrigan’s responsibilities primarily include all aspects of deal execution including acquisition searches, deal screening, due diligence and leveraged buyout financing. In addition, he works with current portfolio companies to assist them with various projects as well as governance and monitoring initiatives.

Matthew J. Lombardo, CFA, Vice President

Matthew Lombardo CapitalWorks
Mr. Lombardo’s responsibilities include screening and analysis of acquisition opportunities, conducting due diligence and procuring deal financing. Additionally, he works with current portfolio companies to assist them with various projects as well as governance and monitoring initiatives.

CapitalWorks Exits Investment in Bluffton Motor Works

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CLEVELAND, OHIO – Cleveland private equity firm CapitalWorks announced today the sale of its portfolio company, Bluffton Motor Works, to WEG S.A. Bluffton Motor Works is a leading manufacturer of sub-five horsepower motors that power a wide variety of applications throughout the world. Terms of the deal were not disclosed.

CapitalWorks originally acquired Bluffton in 2006 and subsequently recapitalized it in 2010 and 2014. The original transaction was a corporate carve-out from Franklin Electric Corporation (NASDAQ: FELE).  “Recruiting an Advisory Board of industry veterans including alumni from Reliance Electric, Rockwell, RELTEC, LEESON and Lincoln Electric enabled CapitalWorks to recruit David Nussear as CEO, and set the strategy to more than double the size of the business,” said CapitalWorks Managing Partner and Chairman Rob McCreary. The firm supported a number of strategic investments including the acquisitions of Toledo Gear Motor in 2011, Electric Motors North in 2012 and RAE Corporation in 2013 as well as the greenfield launch of a motor designed to serve the pool market in 2014.

“This is a great example of CapitalWorks’ approach to building businesses in partnership with a world-class management team,” said CapitalWorks Partner Todd Martin, who led the investment for CapitalWorks.

David Nussear, Bluffton Motor Works CEO commented, “CapitalWorks has been a great partner to us during their ownership. They have allowed us to build Bluffton and position the company as the dominant domestic manufacturer of fractional horsepower motors. We are equally excited about our new partners at WEG, who are eager to invest in North America.”

CapitalWorks was advised by Baird Investment Bank.

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CapitalWorks Acquires Paradigm Window Solutions, Fourth Portfolio Addition in 12 Months

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Paradigm Window SolutionsCLEVELAND, OHIO – Cleveland private equity firm CapitalWorks has acquired Paradigm Window Solutions, a leading manufacturer of premium quality custom vinyl windows in the Northeast. Terms of the deal, the fourth for CapitalWorks in the last 12 months, were not disclosed.

Key to the acquisition is the continuing participation of former Simonton Building Products President and COO John Brunett as chairman of Paradigm and Andy Sevier as president. Brunett helped build Simonton from a regional to a national leader in vinyl windows and has been with Paradigm since 2010. Sevier has been with the company for nearly three decades.

“We are excited to partner with the Paradigm team to continue to expand their market presence,” said CapitalWorks Managing Partner and CEO Dick Hollington. “The delivered and installed quality of their premium vinyl windows and doors along with their warranty and support programs are unmatched in the industry.”

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CapitalWorks Exits Investment in Magna-Tech Manufacturing

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Cleveland, OH – CapitalWorks LLC, a lower middle market private equity firm, announced today the sale of its portfolio company, Magna-Tech Manufacturing, to Henkel Corporation. Magna-Tech Manufacturing is the North American market leader in vacuum impregnation services, with a focus on process center capabilities. Magna-Tech will function as a subsidiary of Henkel Corporation, operating as part of its Adhesive Technologies business.

“I look forward to a joint working relationship with Henkel and the opportunities that will result from this combined business environment,” said Rob Swords, CEO of Magna-Tech.

CapitalWorks acquired Magna-Tech in 2012. The firm supported a number of strategic investments including the recent acquisition of Casting Impregnators and the launch of an operation in Mexico. Todd Martin, a Partner with CapitalWorks commented on the deal, “We are delighted to have found the ideal partner for our management team that will continue investing in the business. Our investment in Magna-Tech is a great example of a successful partnership between an outstanding management team and a sponsor backed by a powerful network.”

CapitalWorks was advised by Quarton International.  Financial terms were not disclosed.
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CapitalWorks Acquires Environmental Waste Management Solutions Company Chemtron Corporation

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Cleveland, OH – Expanding its portfolio of strong middle market businesses, CapitalWorks, LLC, has acquired a majority interest in Chemtron Corporation, a privately-held environmental waste management solutions company based in Avon, Ohio. Chemtron provides a single source for waste management services to customers including industrial manufacturers, healthcare facilities and consumer product companies.

CapitalWorks will be partnering with Chemtron President Ron Guenther and brothers Karl and Mike who have owned the company since 1980. The Guenthers will continue to be significant owners and will remain in their current management roles to build upon their 35 years of success. Details of the transaction were not disclosed.

“We look forward to supporting the Guenther’s long term vision for Chemtron”, said CFO, Mike Harding, who led CapitalWorks investment team. “The partnership of our industry experts and the highly skilled Chemtron team will enable the company to achieve a new level of performance. We have been impressed by each employee we met and for the passion the company has for providing proactive solutions to their customers.”

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Lombardo Joins CapitalWorks

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Matthew Lombardo has joined CapitalWorks as a senior associate with primary duties as a private equity analyst.Matthew Lombardo CapitalWorks

His responsibilities include screening and analysis of acquisition opportunities, conducting due diligence and procuring deal financing. Additionally, he works with current portfolio companies to assist them with various projects as well as governance and monitoring initiatives.

Prior to joining CapitalWorks, Mr. Lombardo worked for Robert W. Baird as a mergers and acquisitions associate in the firm’s Industrial group, where he advised public and private middle market companies on sell-side, carve-out divestiture and buy-side transactions. Mr. Lombardo spent eight years prior to Baird working for Victory Capital Management, a Cleveland based investment management firm, where he was responsible for analyzing and investing in public equities.

Mr. Lombardo received a Bachelor of Arts in economics from Michigan State University and a Master’s in Business Administration from The University of Chicago Booth School of Business. Mr. Lombardo is a Chartered Financial Analyst and a member of the Cleveland CFA Society.