Pelco Acquires Component Products, Inc.
Chattanooga, TN, October 3, 2024
River Associates Investments, L.P. (“River Associates”), a longstanding lower middle market private equity firm based in Chattanooga, TN, is pleased to announce the successful acquisition of Component Products, Inc. (“CPI” or the “Company”) by its Edmond, OK based portfolio company Pelco Products, Inc. (“Pelco”). Founded in 1987, Component Products, Inc. is a leading manufacturer of traffic and light pole products. The transaction closed on October 3, 2024.
“We are excited to offer an exceptional line of complementary products and solutions to our customers,” said Paul Koenig, Pelco’s President. “In addition to being aligned in terms of company cultures, the acquisition of CPI will create additional capacity for both companies and allow CPI to maintain the short lead times for its high-quality products its customers have come to expect. Pelco and CPI have earned industry-leading reputations by employing great people, delivering premium products at a fair price, and striving for outstanding customer service. Through innovation, quality, and service, our combined companies will continue to set the standard in our industry.”
Linda Guertler, CPI’s President, said, “Over the past 35 years, the Guertler family has enjoyed building CPI into a nationally recognized and respected traffic component manufacturing company. We are delighted to join the Pelco family of companies. The synergy created by this acquisition will power both companies to the next level of customer service and product diversification while maintaining the highest levels of quality and innovation that our customers expect and deserve.”
CPI will continue to operate in its current location in Elmhurst, IL. Each company will operate autonomously, delivering the same high level of commitment to improving roadway safety and saving lives across the United States and Canada.
River Associates and the Pelco management team will continue to seek additional complementary strategic acquisitions for Pelco. For more information, please reach out to Mark Jones.
About Pelco:
Founded in 1985 and based in Edmond, OK, Pelco specializes in innovative design and manufacturing of traffic and utility products selling to all 50 states and multiple international markets. With the addition of CPI to the Pelco family of companies, Pelco now operates facilities in three states and British Columbia, Canada. For more information, visit www.pelcoinc.com.
About River Associates:
River Associates is a private equity firm based in Chattanooga, TN, which has focused exclusively on investing in the lower middle market for 35 years. Target businesses can be privately held, private equity-backed, or divestitures from larger companies. River Associates is opportunistic as to industry and has invested in numerous niche manufacturers, high margin distributors, industrial service providers and business service companies. River targets U.S. & Canadian companies, typically with EBITDA in the $3-12 million range. Since its founding in 1989, River Associates has completed more than 120 transactions. River is currently investing its eighth investment fund, which has $345 million of committed capital. For more information, visit www.riverassociates.com.