IMI Holding Corp. is Sold to DNS Capital
Chattanooga, TN, February 18, 2016
River Associates Investments, LLC (“River”), a leading lower middle market private equity firm based in Chattanooga, TN, announced the completion of the sale of IMI Holding Corp. (“IMI Holdings” or “Company”), to Chicago-based private investment office DNS Capital.
Headquartered in Boyne City, Michigan, IMI Holdings is a leading provider of highly engineered solutions for magnetic separation and material handling, particle processing and process automation application. River made the investment through River VI, L.P.
River acquired Industrial Magnetics, Inc. (“IMI”) in 2012. During its ownership, River approved a substantial plant expansion to help support the Company’s significant growth opportunities that provided the Company with larger magnet manufacturing capabilities and a more efficient layout for the existing operations. In 2014, River and the management team successfully completed and integrated the acquisitions of Prater Industries (“Prater”) and Sterling Controls, Inc. (“Sterling”), which enhanced the Company’s technical expertise and broadened its products offering to include particle processing equipment and control systems.
“IMI is a very special company,” commented Patten Pettway, Partner of River Associates. “We feel that the culture and leadership are simply outstanding. The management team consists of smart, honest people who really know how to manage a business. From early on we had full confidence in the team and their vision for the company.”
Bud Shear, CEO and President of IMI Holdings, said, “ We had a choice of private equity partners when we sold IMI in 2012, and we chose River due to their straight forward approach and their successful history of growing companies. I couldn’t be more pleased with the guys at River. They turned out to be everything we thought they would be. They were fantastic partners supporting us with guidance and capital for some pretty aggressive growth plans including an acquisition and major facility expansion.”
About IMI Holdings:
IMI Holdings consists of IMI, Prater and Sterling.
IMI is a leading provider of highly engineered solutions for magnetic separation and material handling, particle processing and process automation applications. The company’s products are used to handle, separate, lift and process as part of industrial production lines, with applications including metal removal, ingredient/particle sorting and sizing, and product purity/quality control. IMI serves a range of applications and industries, including food processing, industrial MRO, conveying, bulk material and aggregate handling and recycling, among others. To learn more about IMI, please visit: www.magnetics.com.
Prater is a global leader in developing and manufacturing particle processing equipment, including sifters, grinders, hammer mills, airlocks, lump breakers, etc. To learn more about Prater, please visit: https://www.praterindustries.com/
Sterling provides process automation solutions for batching, blending and material weighing along with process controls, motor control centers and control panel fabrication. To learn more about Sterling, please visit: https://www.sterlingcontrols.com/
About River Associates Investments, LLC
River Associates Investments, LLC (“River”) is a private equity firm based in Chattanooga, TN that focuses exclusively on investing in the lower middle-market and has partnered closely with management teams for over 25 years. Target businesses can be privately held, private equity-backed, or divestitures from larger companies. River is opportunistic as to industry and has invested in numerous manufacturers, high margin distributors, industrial service, business service, and select non-faddish retail. The firm is currently investing its sixth committed fund and seeks to make investments in companies with $30 million to $150 million in revenues throughout the United States and Canada. Since its founding in 1989, River has initiated over 75 transactions, many of which have been strategic add-on acquisitions to platform companies. The partners at River have collectively worked together for over one hundred years. Details on the firm can be found at www.riverassociatesllc.com.