Alliance Laundry Systems has announced that BDT Capital Partners, LLC, through its investment funds, has agreed to acquire a majority interest in the company from Ontario Teachers’ Pension Plan. Teachers’ is expected to retain a minority interest in the company following the completion of the transaction.
“Our management team will hold a significant ownership stake following the transaction and is excited by the new partnership with BDT,” said Mike Schoeb, Alliance’s president and chief executive officer. “This partnership will allow us to accelerate the execution of our proven growth strategy, continue to invest in new and innovative products of exceptional quality, and strengthen the value we bring to our premier distribution partners. BDT’s long investment horizon and their strategic approach to partnering position Alliance well for the future.”
“We are thrilled to partner alongside the entire Alliance team,” said Chip Dunn, managing director at BDT. “Alliance has built its industry-leading position by investing in its people, innovating across its product portfolio and delivering unmatched customer service. Our long-term capital will provide a solid foundation and long runway to continue to pursue exciting growth opportunities around the world.”
Teachers’ Private Capital, the private equity group of Teachers’, acquired Alliance in January 2005. During their ownership, Alliance expanded operations outside North America – to Europe, the Middle East, Africa and Latin America – and successfully entered new segments and served new end markets.
“The company has delivered exceptionally strong revenue and earnings growth since TPC acquired the company and has been a terrific investment for more than 10 years,” said Jane Rowe, senior vice president of TPC.
Completion of the transaction is expected in the third quarter of 2015. Additional terms of the deal were not disclosed.
Based in Chicago, BDT Capital Partners manages investment funds of more than $8 billion, with an investor base that has the ability to invest significant additional capital.
