Weekly M&A Digest
A curated selection of transactions and deals from the past week.
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Deal Summary
The Wrench Group (Leonard Green & Partners) to acquire Nexgen
The Wrench Group, a provider of home maintenance and repair services and portfolio company of Leonard Green & Partners, L.P., announced the acquisition of Nexgen Air Conditioning & Plumbing, LLC, a provider of home services in Southern California. This is Wrench’s first expansion into the nation’s second-largest market. The company now operates in 21 markets nationwide, including six of the ten largest markets in the U.S.
“We’ve been looking to expand to Southern California for a while but wanted to make sure we found a partner that was the right match…Under Ismael’s visionary leadership, NexGen has displayed the ability to post extraordinary growth while maintaining the highest levels of customer service and loyalty.” - Ken Haines, CEO at Wrench Group.
Steelcase to acquire Halcon
Steelcase Inc., a designer and manufacturer of office furniture announced the acquisition of Halcon, a designer and manufacturer of precision-tailored wood furniture for offices. This acquisition will complement Steelcase’s portfolio of wood products, offering uncompromising design and master craftsmanship to A+D.
“From private office to conference rooms, we were attracted to the HALCON brand for their fine craftsmanship that enables organizations to create signature, custom-designed workplace environments. When matched with our shared commitment to quality, sustainability and service, HALCON is a natural fit for our community of brands…We expect to drive strong growth by making the HALCON portfolio even more accessible to our customers, A+D professionals and dealers. We believe HALCON’s success is rooted in its commitment to quality and long-term partnership with A+D firms, clients, suppliers, the dealer community and employees, and we expect that to continue.” - Allan Smith, SVP, Chief Revenue Officer at Steelcase.
Gentherm to acquire Alfmeier’s Automotive Business
Gentherm (Nasdaq: THRM), a market leader in innovative thermal management technologies, announced the acquisition of the automotive business of Alfmeier Präzision SE, for €177.5 million. The acquisition of Alfmeier further expands Gentherm’s value proposition beyond thermal in comfort, health, wellness, and energy efficiency Technologies. Gentherm is excited to offer more compelling and high-value solutions across complementary customer relationships, leveraging the combined technologies, teams, and capabilities.
“Alfmeier’s automotive business is a perfect complement to Gentherm’s existing capabilities and will further drive our mission to improve comfort, health, wellness, and energy efficiency…This transaction aligns well with global consumer demand for expanded offerings in vehicle passenger comfort. Combining Alfmeier’s technological advancements in physiotherapy with Gentherm’s expertise in thermophysiology maximizes our capabilities of providing world class comfort and wellness solutions. In addition, Alfmeier’s industry leading expertise in air and liquid flow valve systems should also open additional growth opportunities for Gentherm’s ClimateSenseTM and Battery Performance Solutions. We look forward to welcoming the members of the Alfmeier team to the Gentherm family.” - Phil Eyler, President and CEO at Gentherm.
Plastic Omnium to acquire Varroc’s Automotive Lighting Systems Business
Compagnie Plastic Omnium SE (ENXTPA: POM), which develops and produces intelligent exterior systems, clean energy systems, and customized complex modules, announced the acquisition of Varroc Lighting Systems (VLS), a key Tier 1 automotive lighting supplier, for €600 million.
“With Varroc Lighting Systems, Plastic Omnium becomes a comprehensive lighting player, meeting growing OEM demand for integrated exterior systems. This acquisition will provide us with an extensive lighting product portfolio, a balanced footprint across best-cost countries and significant cross-selling opportunities. VLS will also benefit from the technological innovations and advanced R&D capabilities of AMLS, a fast-growing German technology leader in automotive lighting. Building on our operational excellence, financial strength, and long-term vision, we have identified clear levers for VLS to deliver best-in-class operating performance.” - Laurent Favre, CEO at Plastic Omnium
Darling Ingredients to acquire FASA Group
Darling Ingredients Inc. (NYSE: DAR), a company turning food waste into sustainable products and producer of renewable energy, announced the acquisition of the largest independent Brazilian Rendering Company, FASA Group for $560 million.
"Brazil is a leader in global agricultural commodities growth and is expected to take on a bigger role in world's meat production, making it a premier location for rendering growth…FASA will also supplement Darling Ingredient's global supply of waste fats, making it a leader in the supply of low carbon waste fats and oils in North and South America to be used in the production of renewable diesel." - Randall C. Stuewe, Chairman and CEO at Darling Ingredients.
SOURCES
Wrench Group Press Release:
https://www.wrenchgroup.com/articles/nexgen-joins-wrench-group-expanding-reach-southern-california/
Steelcase Press Release:
https://www.steelcase.com/eu-en/press-releases/steelcase-acquire-halcon-maker-finely-crafted-wood-furniture-modern-workplace/
Gentherm Press Release:
https://gentherm.gcs-web.com/news-releases/news-release-details/gentherm-acquire-alfmeiers-automotive-business-innovative-market
Plastic Omnium Press Release:
https://www.plasticomnium.com/wp-content/uploads/2022/04/plastic-omnium-acquires-varroc-lighting-20220429-en.pdf
Darling Ingredients Press Release:
https://www.darlingii.com/media/news/darling-ingredients-inc-to-acquire-largest-independent-brazilian-rendering-company-fasa-group