STARK Group welcomes CVC Capital Partners Fund VII as its new partner

08 Jan 2021

CVC Fund VII to acquire 100% of the leading distributor of heavy building materials in Northern Europe.

CVC Capital Partners Fund VII has signed an agreement to acquire 100% of STARK Group, a leading distributor of heavy building materials in Northern Europe.

STARK Group has grown rapidly in recent years through successful acquisitions and organic growth with a strategic focus on being a trusted partner bringing scale benefits to professional craftsmen. The company has been owned by an affiliate of Lone Star Funds since April 2018.

Headquartered in Denmark, STARK Group is a leading B2B distributor of heavy building materials for the construction industry in the Nordics and Germany, with a focus on serving professional craftsmen. The business partners with 10,000 suppliers to serve c. 235,000 customers from more than 400 locations in Denmark (incl. Greenland), Sweden, Norway, Finland, and Germany.

“We are excited to partner with CVC to continue the journey we started together with Lone Star. We have enjoyed this collaboration, which has been instrumental in supporting us to achieve strong growth over recent years.” says Søren P. Olesen, CEO, STARK Group. “We continue to see plenty of opportunities for further development and expansion both in respect of further organic growth and through accretive bolt-on acquisitions in the attractive markets in which we operate. We know CVC very well from the past and look forward to benefitting from their industry expertise, strategic insights and appetite to play an active role in future market consolidation. I could not imagine a better owner to support STARK Group going forward.”

Christoffer Sjøqvist, Senior Managing Director at CVC, adds: “We have followed STARK Group closely for many years and have been impressed with the quality of the business and its people. We are delighted to be supporting the company going forward and look forward to working closely with Søren P. Olesen and his team to continue to grow STARK Group.”

The transaction is subject to customary conditions and approvals and is expected to close in Q2 2021. Legal and financial terms have not been disclosed.

STARK Group and Lone Star Funds were advised by Lazard. CVC was advised by Nordea and Rothschild & Co.

Upon completion, Søren Vestergaard-Poulsen, Managing Partner at CVC, will join the board of STARK Group as Chairman. Christoffer Sjøqvist will also join the board.

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Platinum Equity Completes Sale of PrimeSource to Clearlake Capital Group

Platinum

Press Release · December 31, 2020

LOS ANGELES (December 31, 2020) – Platinum Equity announced today that the sale of PriSo Holding Corporation (“PrimeSource”, or the “Company”) to Clearlake Capital Group, L.P. (together with affiliates, “Clearlake”) has been completed.

PrimeSource is a leading global distributor of specialty building materials serving residential, commercial, and industrial new-construction and remodeling markets. Founded in 1990, PrimeSource manages a highly diversified global supply chain, distributing over 23,000 SKUs sourced from more than 500 vendors in 16 countries throughout Asia, Europe and North America. The Company plays a crucial role for its customers who rely on its superior brand value, breadth of offering and sourcing and logistics capabilities.

“PrimeSource showcased the breadth of our M&A&O toolkit and the ways Platinum creates value throughout the entire lifecycle of an investment,” said Platinum Equity Partner Jacob Kotzubei.

Platinum Equity acquired PrimeSource in 2015 from Itochu Corporation.

“PrimeSource showcased the breadth of our M&A&O toolkit and the ways Platinum creates value throughout the entire lifecycle of an investment,” said Platinum Equity Partner Jacob Kotzubei. “We started by providing a divestiture solution to a large corporate seller, then executed a comprehensive transition and transformation program that established PrimeSource as a solid platform for growth as an independent company. The business thrived under our stewardship, to the benefit of its customers, suppliers, employees and their communities.”

“PrimeSource has been an outstanding investment and is a testament to our strong partnership with CEO Tom Koos and the leadership team,” said Platinum Equity Managing Director Todd Golditch. “Platinum Equity has a proven track record in the building products space over many years and we will continue to look for new opportunities to create value in the sector.”

Moelis & Company LLC served as financial advisor to PrimeSource on the sale and Gibson, Dunn & Crutcher LLP served as Platinum Equity’s legal advisor.

Hear Platinum Equity and PrimeSource executives discuss more about the investment and the transformation of the company here: PrimeSource Building Products

Investor Relations
and Media Contacts:

Mark Barnhill
Partner
+1 310.228.9514 E-mail Mark

Dan Whelan
Principal
+1 310.282.9202 E-mail Dan

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KeBeK Private Equity acquires a majority stake in BBC Bouwmanagement

Kebek

Etten-Leur, December 11th, 2020 – KeBeK Private Equity has acquired a majority stake in BBC
Bouwmanagement, based in Etten-Leur (the Netherlands). Founder Walther Coppens stays on
board with a minority stake and will, together with KeBeK, support the management team in
realizing the future growth plans.

BBC Bouwmanagement is active in project management, quality management and site
monitoring for large developers and investors in the Dutch real estate market. The company
assists its clients from the preparatory phases of a building project till the final completion and
handover. BBC Bouwmanagement focuses on large projects such as office buildings, hospitals,
universities and shopping centers. Furthermore, the company is also active in the earthquake area
in Groningen, focusing on damage inspections and advice on structural reinforcement projects of
buildings. The company employs over 100 people and has offices in Etten-Leur, Groningen and
Arnhem. The turnover of the company is in excess of € 10 million.

Under the leadership of Walther and Marianne Coppens, the company has grown over the recent
years into one of the leading players in the construction management industry in the Netherlands.
Earlier this year, the shareholders have transferred their operational activities to the experienced
management team under the leadership of Ronald Zilver.

KeBeK will support the management team in its further growth plans, which include the further
expansion of the services offered and the opening of one or more additional offices.
BBC Bouwmanagement is the fourth investment of KeBeK III, which has previously acquired a
controlling interest in Asbest Partners, Dekabo, and more recently, Borek.

For more information:

KeBeK – www.kebek.be
Contact Floris Vansina: floris.vansina@kebek.be or +32 2 66 99 023
KeBeK is an independent Belgian private equity fund, that invests in solid, medium-sized
companies with a demonstrable potential for further value enhancement. KeBeK actively
supports the management teams of its portfolio companies with the implementation of a jointly
defined corporate strategy. KeBeK generally acquires controlling stakes, without, however,
interfering with the daily operations. KeBeK generally acquires controlling stakes, without,
however, interfering with the daily operations. The fund is managed by 4 partners, who have
been working together for many years and who have a proven track record in the private equity
industry. KeBeK’s capital is provided by renowned institutional investors, family offices, and
successful entrepreneurs.
For more information about BBC Bouwmanagement, please visit www.bbcbouwmanagement.nl.

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Votorantim Cimentos and McInnis Cement to Combine Cement Operations in North America

Cdpq

Joint venture between St. Marys Cement (Canada) and McInnis Cement to focus on expanding operations to supply cement across the Great Lakes region, Eastern Canada and the Northeastern Coast of the United States

  • Commitment to maintain facilities and jobs at the Port-Daniel–Gascons plant until at least 2029
  • Combined entity to deploy initiatives at Port-Daniel–Gascons plant to support carbon footprint reduction in the cement industry
St. Marys Cement Inc. (Canada), a wholly owned subsidiary of Votorantim Cimentos, and McInnis Cement Inc. today announced that they will combine their assets to create a combined entity to manufacture, distribute and sell cement in Canada and the United States. The joint venture will be owned by Votorantim Cimentos International (VCI), the international investments platform and wholly owned subsidiary of Votorantim Cimentos S.A., the sixth largest cement producer in the world, and Caisse de dépôt et placement du Québec (CDPQ), a long-term institutional investor, through its investment in McInnis Holding Limited Partnership (McInnis Holding).

The business combination is expected to significantly strengthen the strategic positioning of the combined operations through increased cement production capacity, operational efficiencies and an enhanced distribution network.

Votorantim Cimentos International will hold 83% and CDPQ will hold 17% of the shares in the joint venture. Both parties will transfer North American assets to the combined entity. The Votorantim Cimentos assets are primarily cement plants located in Bowmanville and St. Marys, in Canada, and in Detroit and Charlevoix, Michigan, and Dixon, Illinois, in the United States, along with its extensive distribution network concentrated in the Great Lakes region. The McInnis Cement assets include the Port-Daniel–Gascons plant with all of its terminals located in Quebec, Ontario, New Brunswick, Nova Scotia and the Northeastern region of the United States, as well as its maritime operations.

“The creation of this combined entity allows us to partner with a world-class player with an established presence – and strong track record of profitability – in North America to operate the McInnis Cement plant in Port-Daniel–Gascons, one of the most modern and efficient facilities in the region. This partnership will enable the Port-Daniel–Gascons plant to benefit from Votorantim Cimentos’ production, distribution and operational expertise to develop important markets, particularly in Eastern Canada, the Great Lakes region and the Northeastern Coast of the United States to meet the growing demand for cement”, said Kim Thomassin, CDPQ’s Executive Vice-President and Head of Investments in Quebec and Stewardship Investing.

“This transaction is aligned with Votorantim Cimentos’ portfolio management strategy, prioritizing investments in markets in which we already operate and enabling geographic expansion in locations with attractive growth prospects. McInnis Cement’s state-of-the-art plant and distribution network enable an efficient cost position in an attractive region, with access to new markets and lots of opportunities”, said Marcelo Castelli, Global CEO of Votorantim Cimentos.

“We are excited about the prospects for Votorantim Cimentos in North America through this joint venture, and very much welcome the partnership with CDPQ, a leading institutional investor that shares our long-term approach to investing and our commitment to sustainable and best-in-class business practices”, said João Schmidt, CEO of Votorantim S.A., the controlling shareholder of Votorantim Cimentos.

With a growing demand for the development of critical infrastructure throughout North America – and an emphasis on new large-scale projects to drive the economic recovery– the market outlook for cement remains positive. McInnis Cement’s 2.2-million-tonne annual capacity plant in Port-Daniel–Gascons, Canada is the first new plant built to serve Eastern Canada, the Northeastern U.S. and the Great Lakes region in more than 50 years – complementing St. Marys Cement’s longstanding presence in the region. McInnis Cement has constructed a deep-water marine terminal, adjacent to the plant, and operates three marine vessels and a distribution network consisting of 10 terminals (marine, rail and truck) strategically located in the U.S. and Canada.

Commitment to Sustainability and the Port-Daniel–Gascons region

Votorantim Cimentos and McInnis Cement both bring a deep commitment to employing the latest technology to drive sustainable business practices and support the local communities where they have operations. As part of the agreement on this joint venture, the parties have committed to maintaining jobs and facilities at the Port-Daniel–Gascons plant until at least 2029. Additionally, the combined entity will deploy initiatives at the Port-Daniel–Gascons plant to support carbon footprint reduction in the cement industry and will work closely with leading experts and local stakeholders to ensure that these activities benefit the region.

Votorantim Cimentos manages the impacts of its operations and works to make them increasingly sustainable. From 1990 to 2019, Votorantim Cimentos reduced its CO2 emissions per tonne of cement by 23%. Recently, the company approved its Sustainability Commitments for 2030 with clear targets in seven areas: to reduce its environmental footprint, promote a more circular economy, co-create sustainable solutions, operate with integrity and transparency, promote a diverse and inclusive environment, share value with its communities, and promote safety, health and well-being. Votorantim Cimentos’ vision is to achieve carbon neutrality in concrete by 2050.

Established Presence in North America with Market Leading Position

Founded in 1933, Votorantim Cimentos is a global company operating in building materials, mining, agricultural lime, co-processing and waste management. With 256 industrial sites worldwide, the company has an installed cement capacity of 52.8 million tonnes. Votorantim Cimentos’ presence in North America began in 2001 with the acquisition of St. Marys Cement, a Canadian company founded in 1912 in the Town of St. Marys, Ontario. Through its integrated cement plants in St. Marys and Bowmanville, Ontario, and Detroit and Charlevoix, Michigan, St. Marys Cement currently serves Canadian and U.S. customers in the Great Lakes region. With a production capacity of 5.2 million tonnes, St. Marys Cement participated in such landmark projects as the CN Tower, Roy Thompson Hall, Maple Leaf Gardens and the Darlington Nuclear Station, as well as countless other engineering, civic and residential projects that significantly contributed to the growth and prosperity of Canada.

The transaction remains subject to customary closing conditions, including approval by regulatory authorities in Brazil, Canada and the United States. The two companies will continue to operate as separate businesses pending the closing of the transaction.

Moelis & Company LLC acted as exclusive financial advisor for Votorantim Cimentos. HSBC served as lead financial advisor to CDPQ on the transaction, in collaboration with National Bank Financial and BMO Capital Markets.

About Votorantim Cimentos

Votorantim Cimentos is one of the largest global companies in the industry. Its building materials portfolio includes not only cement but also concrete, mortars and aggregates. The Company also has businesses in the areas of agricultural lime, waste management and co-processing. In addition to Brazil, Votorantim Cimentos’ administrative and operations locations are strategically located in proximity to the most important growing consumer markets in ten countries including, Argentina, Bolivia, Canada, Luxembourg, Morocco, Tunisia, Turkey, Spain, the United States, and Uruguay. More information at www.votorantimcimentos.com.

ABOUT CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC

Caisse de dépôt et placement du Québec (CDPQ) is a long-term institutional investor that manages funds primarily for public and parapublic pension and insurance plans. As at June 30, 2020, it held CA$333.0 billion in net assets. As one of Canada’s leading institutional fund managers, CDPQ invests globally in major financial markets, private equity, infrastructure, real estate and private debt. For more information, visit cdpq.com, follow us on Twitter @LaCDPQ or consult our Facebook or LinkedIn pages.

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For more information

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US LBM to be Acquired by Bain Capital Private Equity

BainCapital

November 13, 2020
US LBM to be Acquired by Bain Capital Private Equity

BUFFALO GROVE, IL, November 13, 2020 – US LBM, a leading distributor of specialty building materials in the United States, today announced the signing of a definitive agreement for Bain Capital Private Equity to acquire a majority stake in the company. US LBM will continue to operate under the leadership of President and CEO L.T. Gibson and the current management team. Financial terms of the private transaction were not disclosed.

Founded in 2009 with 16 locations in three states, US LBM has grown to be a leading national distributor of specialty building materials operating more than 250 locations. The company’s unique and powerful operating model combines the advantages of its national scale and central team of industry experts with the high service levels, local expertise, entrepreneurial culture and excellent customer relationships of its 37 operating divisions. Since US LBM’s founding, it has grown through acquisitions and has opened more than 30 greenfield locations, including six this year.

“We have grown tremendously over the past 11 years, and with Kelso’s support we were able to accelerate our acquisition strategy that has positioned us for continued growth,” said Gibson. “US LBM’s national platform, local go-to-market strategy, relationships with top suppliers, and record of successful integrations continues to make us an acquirer of choice in the building materials industry. We look forward to working with Bain Capital Private Equity and leveraging their experience of helping industrial companies scale and attract additional partners.”

“L.T. and his team have built an impressive, enduring business with a winning model that combines the advantages of national scale with a strong local market strategy,” said Stephen Thomas, a Managing Director at Bain Capital Private Equity. “We believe US LBM is poised for continued growth and expansion as a leading national building materials distributor. We are excited by the opportunity to work with this talented team and to further grow their integrated platform while maintaining the company’s unique culture, people-first mindset and commitment to superior customer service.”

Bain Capital Private Equity has a long history of investments in industrial businesses and is one of the most active investors in the sector in the US and globally. The firm’s global experience across the industrial distribution and building materials sectors includes investments in a wide range of businesses including HD Supply Holdings, Inc., Imperial Dade, Dealer Tire, LLC, Consolis SAS, Ibstock PLC, and MKM Building Supplies.

Kelso & Co. has been the Company’s investment partner since August 2015.

The transaction is expected to close in December 2020 and is subject to customary closing conditions, including requisite regulatory approvals. Debt financing for the transaction is being led by Barclays and will comprise of a new asset based revolving credit facility and a combination of other new debt financing.

Barclays is serving as financial advisor, Debevoise & Plimpton as legal counsel, and Ernst & Young as accounting advisor to Kelso and US LBM. Kirkland and Ellis LLP is serving as legal counsel, and PwC as accounting advisor to Bain Capital Private Equity.

About US LBM
US LBM is a leading distributor of specialty building materials in the United States. Offering a comprehensive portfolio of specialty products, including windows, doors, millwork, wallboard, roofing, siding, engineered components and cabinetry, US LBM combines the scale and operational advantages of a national platform with a local go-to-market strategy through its national network of locations across the country. For more information, please visit www.uslbm.com.

About Bain Capital Private Equity
Bain Capital Private Equity (https://www.baincapital.com/) has partnered closely with management teams to provide the strategic resources that build great companies and help them thrive since its founding in 1984. Bain Capital Private Equity’s global team of more than 250 investment professionals creates value for its portfolio companies through its global platform and depth of expertise in key vertical industries including healthcare, consumer/retail, financial and business services, industrials, and technology, media and telecommunications. Bain Capital Private Equity has 20 offices on four continents. The firm has made primary or add-on investments in more than 940 companies since its inception. In addition to private equity, Bain Capital Private Equity invests across asset classes including credit, public equity, venture capital and real estate, managing approximately $105 billion in total and leveraging the firm’s shared platform to capture opportunities in strategic areas of focus.

About Kelso & Company
Kelso is one of the oldest and most established firms specializing in private equity investing.  Since 1980, Kelso has invested approximately $14 billion of equity capital in over 125 transactions.  Kelso was founded by the inventor of the Employee Stock Ownership Plan (“ESOP”) and, as a result, the principles of partnership and alignment of interest serve as the foundation of the firm’s investment philosophy.  Kelso benefits from a successful investment track record, deep sector expertise, a long-tenured investing team, and a reputation as a preferred partner to management teams and corporates.  Kelso has significant experience investing in financial services, having deployed approximately $3 billion of equity capital in the sector.  For more information, please visit www.kelso.com.

Media Contacts

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Construction material startup Betolar raised €2M

Voima Ventures

Next generation construction material startup Betolar paves the carbon neutral way for the cement and concrete industries. Betolar is a material technology company specialised in geopolymer-based, low carbon construction materials for the construction industry. The company closed a €2M funding round led by Voima Ventures, and joined by Taaleri Investments Ltd and Valve Ventures.

Kannonkoski, Finland. Increasing CO2 levels are affecting nature, lives and economies with growing urgency. One of the biggest single contributors to these numbers is the use of cement as a construction material. In fact, cement produces more CO2 emission than the aviation industry (1,2). For decades the construction industry has not been able to answer the urgent need to decrease the CO2 emissions. Now, Betolar is changing that.

Betolar is transforming the construction industry by aiming to eliminate cement with their geopolymer technology while turning industrial side streams into value. They are offering a scalable AI empowered alternative construction material production with up to 80% less carbon emissions compared to using traditional cement. Betolar can also reduce the need for virgin raw materials by replacing aggregates with industrial side streams.

Betolar has developed new types of different binders, where by-products from the metal, mining and energy industries can be used. The company is selling solutions in three key application areas: concrete products, ready-mixed concrete, and soil stabilization. These solutions consist of the company’s license-based recipe and material technology and additives needed in the production. The company has extensive knowledge in material physics and advanced analytics knowhow which brings the team strong competitive advantage in the construction industry.

Betolar has developed and piloted its solutions with various industrial partners in Finland, Sweden and Estonia, with the longer-term aim to expand into Asia, where consumption and construction is considerably higher. For example in India alone cement consumption is s two times that of Europe’s (3).

“There has been a strong pull for low carbon construction materials in Asia and we are currently preparing our entry to multiple markets.”, says the CEO of Betolar, Matti Löppönen.

Betolar raised a €2M funding round from deep tech fund Voima Ventures as the lead investor, joined by Taaleri and Valve Ventures. With the new funding, Betolar is looking to  start the commercialization of the product to global markets.

Betolar’s technology is truly challenging the carbon footprint and quality expectations we have for the construction industry and in particular the cement or concrete being used today. Climate change is a pressing matter, and together with Betolar’s industrial partners we are looking forward to being part of making the carbon friendly and new circular economy based construction industry a reality. The global potential is huge, not only for Betolar but for the whole industry and circular ecosystem.”, says Inka Mero, Managing Partner of Voima Ventures.

When Betolar succeeds they will achieve both excellent financial profit and significant environmental improvements through decreased CO2 emissions and raw material use. Thus, it excellently meets Taaleri Impact’s investment criteria. We are happy to be involved in this round.”, says Pekka Samuelsson, Investment Director of Taaleri Impact Investments.

About Betolar

Betolar is a construction material startup turning various industrial side streams into environmentally friendly and low carbon construction materials. These materials have a carbon footprint that is up to 80 per cent smaller than conventional cement-based concrete. At the same time, Betolar enables industrial waste stream producers a way to turn their waste into value and thus accelerate the transition towards sustainable construction and a circular economy.
www.betolar.com

About Voima Ventures

Voima Ventures is a €40M deep tech fund that invests purely in startups with deep tech and scientific backgrounds. Voima Ventures’ mission is to solve major global problems by combining science, entrepreneurship, and capital. Industry domains include bio and new materials, medical technologies and life sciences, imaging and optics, IoT and electronics, robotics, software & ICT and AI. In addition, Voima Ventures is managing a portfolio of VTT Ventures with 20 prominent deep tech companies including Solar Foods, Paptic, and Dispelix. Cornerstone investors are VTT Technical Research Centre of Finland and European Investment Fund (EIF), backed by Finnish private and institutional investors.

References

1. Huang, Lizhen, et al. “Carbon emission of global construction sector.” Renewable and Sustainable Energy Reviews 81 (2018): 1906-1916. Available from: <URL:https://www.sciencedirect.com/science/article/abs/pii/S1364032117309413>

2. Air Transport Action Group (2020). Key Facts & Figures. Available from: <URL:https://www.atag.org/facts-figures.html>

3. The European Cement Association (2020). Key Facts & Figures. Available from: <URL:https://cembureau.eu/about-our-industry/key-facts-figures/>

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EQT acquires majority stake in thinkproject

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TA associates

THE WORLD’S LARGEST INDUSTRIAL SECTOR IS UNDERGOING DIGITAL TRANSFORMATION:

  • EQT acquires shares from the previous investor TA Associates and the founder of thinkproject, Thomas Bachmaier
  • All previous shareholders and the management team of thinkproject commit to significant reinvestment in the company
  • thinkproject will further accelerate the expansion of its market leadership in the digitalization of the AECO industry

Munich, 16 November 2020 – thinkproject, Europe’s leading SaaS provider for construction and engineering projects, today announced a new stakeholder, global investor EQT. EQT will acquire a majority stake from the previous investor TA Associates as well as from Thomas Bachmaier, founder of thinkproject. All previous shareholders and the management team of thinkproject will make a significant reinvestment in thinkproject to further accelerate the growth of the European market leader in construction intelligence solutions. thinkproject has more than 450 employees in 18 offices across 11 countries. thinkproject supports around 2,750 private and public asset owners, project developers and general contractors with users in more than 60 countries to digitally map the entire life cycle of construction projects. Reference projects that were or are being realized with the help of thinkproject’s Construction Intelligence Platform include BMW World in Munich, the Fehmarn Belt Tunnel between Germany and Denmark, Elbe Philharmonic Hall in Hamburg, Hong Kong International Airport, and more. The transaction is expected to be closing by the end of the year, subject to regulatory approvals.

World’s largest industry far behind in digitization
With 13 percent of global GDP, the construction industry is the largest industrial sector in the world. In terms of the degree of digitalization and an annual productivity growth rate of only 1 percent, the industry is lagging. Global initiatives to completely digitize the entire life cycle of construction projects, from designing and building to operating, will lead to fundamental disruption in the construction industry. thinkproject already offers the AECO (Architecture, Engineering, Construction and Owner-operated) industry SaaS (Software as a Service) solutions to avoid time and cost overruns, thus minimizing these considerable risks in the industry.

Florian Funk, Partner at EQT Partners and Investment Advisor for EQT, said: “thinkproject has delivered an impressive growth story through organic growth and strategic acquisitions in a highly fragmented market. The digitalization of the construction industry offers enormous growth opportunities, we are only at the beginning of a disruptive change. EQT will use its entire platform, including its digital and sustainability expertise, its local presence, its domain expertise and its network to further accelerate thinkproject’s expansion. We look forward to working with TA Associates and thinkproject’s management team to create a global champion who will lead the way and pioneer the digitization of the world’s largest industry.”

Morgan Seigler, Managing Director at TA Associates, said: “Since our investment four years ago, the thinkproject management team has demonstrated an exceptional commitment to the company’s strategic growth initiatives and customers. We believe that these efforts have helped thinkproject transform into Europe’s leading SaaS provider of construction intelligence solutions for the AECO industry. We are thrilled to welcome EQT as our new partner, and we look forward to working with them alongside thinkproject’s management team during the company’s next phase of growth.”

Gareth Burton, CEO of thinkproject, added: “We are excited to continue the next phase of our journey with our new majority shareholder EQT and with the continued support and commitment from TA Associates. Both have deep enterprise software experience, which make them ideal partners to further accelerate our growth. The digitalization of the construction industry is one of the most exciting projects in the global economy. thinkproject is a leader in AECO software, a fast-growing market where we continue to win market share. This is where we believe that we can help our customers create the most value, by enabling them to capitalise on the promise of digital transformation in our industry, gaining insights and knowledge from their data across the entire design, build and operate lifecycle. thinkproject’s proposition in the market is compelling and differentiated, which, when combined with the market opportunity, provides all the right ingredients for continued growth”.

Arma Partners acted as exclusive financial advisor to thinkproject.

_____________________________________________________________________________________________________

About thinkproject

Based in Munich, Germany, thinkproject is a global leader in construction intelligence, unlocking the potential of people and information through digital technologies to enable better industry results. It is the leading Europe-based construction and engineering SaaS provider with 2,750 customers, more than 250,000 users in over 60 countries, and over 450 employees.

More info: www.thinkproject.com

About EQT
EQT is a purpose-driven global investment organization with more than EUR 75 billion in raised capital and over EUR 46 billion in assets under management across 16 active funds. EQT funds have portfolio companies in Europe, Asia-Pacific and North America with total sales of more than EUR 27 billion and approximately 159,000 employees. EQT works with portfolio companies to achieve sustainable growth, operational excellence and market leadership.

More info: www.eqtgroup.com

About TA Associates
TA Associates is a leading global growth private equity firm. Focused on targeted sectors within five industries – technology, healthcare, financial services, consumer and business services – TA invests in profitable, growing companies with opportunities for sustained growth, and has invested in more than 500 companies around the world. Investing as either a majority or minority investor, TA employs a long-term approach, utilizing its strategic resources to help management teams build lasting value in high quality growth companies. TA has raised $33.5 billion in capital since its founding in 1968 and is committing to new investments at the pace of over $3 billion per year. The firm’s more than 100 investment professionals are based in Boston, Menlo Park, London, Mumbai and Hong Kong.

Press contact: Fabian Pecht / Samet Simsek, Havana Orange GmbH, thinkproject@havanaorange.de, +49 (89) 92 131 51 – 78/70

EQT acquires majority stake in thinkproject

TA associates

THE WORLD’S LARGEST INDUSTRIAL SECTOR IS UNDERGOING DIGITAL TRANSFORMATION:

  • EQT acquires shares from the previous investor TA Associates and the founder of thinkproject, Thomas Bachmaier
  • All previous shareholders and the management team of thinkproject commit to significant reinvestment in the company
  • thinkproject will further accelerate the expansion of its market leadership in the digitalization of the AECO industry

Munich, 16 November 2020 – thinkproject, Europe’s leading SaaS provider for construction and engineering projects, today announced a new stakeholder, global investor EQT. EQT will acquire a majority stake from the previous investor TA Associates as well as from Thomas Bachmaier, founder of thinkproject. All previous shareholders and the management team of thinkproject will make a significant reinvestment in thinkproject to further accelerate the growth of the European market leader in construction intelligence solutions. thinkproject has more than 450 employees in 18 offices across 11 countries. thinkproject supports around 2,750 private and public asset owners, project developers and general contractors with users in more than 60 countries to digitally map the entire life cycle of construction projects. Reference projects that were or are being realized with the help of thinkproject’s Construction Intelligence Platform include BMW World in Munich, the Fehmarn Belt Tunnel between Germany and Denmark, Elbe Philharmonic Hall in Hamburg, Hong Kong International Airport, and more. The transaction is expected to be closing by the end of the year, subject to regulatory approvals.

World’s largest industry far behind in digitization
With 13 percent of global GDP, the construction industry is the largest industrial sector in the world. In terms of the degree of digitalization and an annual productivity growth rate of only 1 percent, the industry is lagging. Global initiatives to completely digitize the entire life cycle of construction projects, from designing and building to operating, will lead to fundamental disruption in the construction industry. thinkproject already offers the AECO (Architecture, Engineering, Construction and Owner-operated) industry SaaS (Software as a Service) solutions to avoid time and cost overruns, thus minimizing these considerable risks in the industry.

Florian Funk, Partner at EQT Partners and Investment Advisor for EQT, said: “thinkproject has delivered an impressive growth story through organic growth and strategic acquisitions in a highly fragmented market. The digitalization of the construction industry offers enormous growth opportunities, we are only at the beginning of a disruptive change. EQT will use its entire platform, including its digital and sustainability expertise, its local presence, its domain expertise and its network to further accelerate thinkproject’s expansion. We look forward to working with TA Associates and thinkproject’s management team to create a global champion who will lead the way and pioneer the digitization of the world’s largest industry.”

Morgan Seigler, Managing Director at TA Associates, said: “Since our investment four years ago, the thinkproject management team has demonstrated an exceptional commitment to the company’s strategic growth initiatives and customers. We believe that these efforts have helped thinkproject transform into Europe’s leading SaaS provider of construction intelligence solutions for the AECO industry. We are thrilled to welcome EQT as our new partner, and we look forward to working with them alongside thinkproject’s management team during the company’s next phase of growth.”

Gareth Burton, CEO of thinkproject, added: “We are excited to continue the next phase of our journey with our new majority shareholder EQT and with the continued support and commitment from TA Associates. Both have deep enterprise software experience, which make them ideal partners to further accelerate our growth. The digitalization of the construction industry is one of the most exciting projects in the global economy. thinkproject is a leader in AECO software, a fast-growing market where we continue to win market share. This is where we believe that we can help our customers create the most value, by enabling them to capitalise on the promise of digital transformation in our industry, gaining insights and knowledge from their data across the entire design, build and operate lifecycle. thinkproject’s proposition in the market is compelling and differentiated, which, when combined with the market opportunity, provides all the right ingredients for continued growth”.

Arma Partners acted as exclusive financial advisor to thinkproject.

_____________________________________________________________________________________________________

About thinkproject

Based in Munich, Germany, thinkproject is a global leader in construction intelligence, unlocking the potential of people and information through digital technologies to enable better industry results. It is the leading Europe-based construction and engineering SaaS provider with 2,750 customers, more than 250,000 users in over 60 countries, and over 450 employees.

More info: www.thinkproject.com

About EQT
EQT is a purpose-driven global investment organization with more than EUR 75 billion in raised capital and over EUR 46 billion in assets under management across 16 active funds. EQT funds have portfolio companies in Europe, Asia-Pacific and North America with total sales of more than EUR 27 billion and approximately 159,000 employees. EQT works with portfolio companies to achieve sustainable growth, operational excellence and market leadership.

More info: www.eqtgroup.com

About TA Associates
TA Associates is a leading global growth private equity firm. Focused on targeted sectors within five industries – technology, healthcare, financial services, consumer and business services – TA invests in profitable, growing companies with opportunities for sustained growth, and has invested in more than 500 companies around the world. Investing as either a majority or minority investor, TA employs a long-term approach, utilizing its strategic resources to help management teams build lasting value in high quality growth companies. TA has raised $33.5 billion in capital since its founding in 1968 and is committing to new investments at the pace of over $3 billion per year. The firm’s more than 100 investment professionals are based in Boston, Menlo Park, London, Mumbai and Hong Kong.

Press contact: Fabian Pecht / Samet Simsek, Havana Orange GmbH, thinkproject@havanaorange.de, +49 (89) 92 131 51 – 78/70

Platinum Equity to Sell PrimeSource to Clearlake Capital Group

Platinum

Press Release · November 13, 2020

Global Distributor of Specialty Building Materials will Serve as Clearlake’s Latest Platform for Organic Growth and Add-on Acquisitions in the Specialty Distribution Sector

LOS ANGELES, CA, SANTA MONICA, CA AND IRVING, TX (November 13, 2020) – Platinum Equity announced today the signing of a definitive agreement to sell PriSo Holding Corporation (“PrimeSource”, or the “Company”) to Clearlake Capital Group, L.P. (together with affiliates, “Clearlake”). Terms of the transaction were not disclosed.

PrimeSource is a leading global distributor of specialty building materials serving residential, commercial, and industrial new-construction and remodeling markets. Founded in 1990, PrimeSource manages a highly diversified global supply chain, distributing over 23,000 SKUs sourced from more than 500 vendors in 16 countries throughout Asia, Europe and North America. The Company plays a crucial role for its customers who rely on its superior brand value, breadth of offering and sourcing and logistics capabilities.

Platinum Equity acquired PrimeSource in 2015 from Itochu Corporation. Following the acquisition, Platinum Equity’s M&A and operations teams drove a comprehensive operational improvement and transformation program.

“We deployed the full range of our M&A&O toolkit, helping the company grow strategically while enhancing its capabilities in supply chain management, logistics, salesforce effectiveness and technology applications,” said Platinum Equity Partner Jacob Kotzubei. “By investing in growth and fundamentally improving the Company’s operational underpinnings, PrimeSource substantially increased earnings and is well positioned to sustain its momentum.”

“PrimeSource has been a fantastic success story,” said Platinum Equity Managing Director Todd Golditch. “Platinum Equity has a demonstrated track record successfully investing in and creating value in the building products space over many years and PrimeSource is no exception.  It has been a pleasure partnering with the PrimeSource management team led by Tom Koos, and we look forward to following the company’s continued success in the years ahead.”

“We deployed the full range of our M&A&O toolkit, helping the company grow strategically while enhancing its capabilities in supply chain management, logistics, salesforce effectiveness and technology applications,” said Platinum Equity Partner Jacob Kotzubei.

PrimeSource CEO Tom Koos said he is proud of the collaboration with Platinum Equity and excited about the opportunity to partner with Clearlake.

“We are grateful to Platinum Equity for the support over the past several years.  They have been instrumental in transforming PrimeSource and their operating model has been key to our success,” said Mr. Koos. “Our leadership group is thrilled for the next step. I have known José  E. Feliciano, Behdad Eghbali, Colin Leonard and the team at Clearlake for over a decade, having not only been a CEO for one of their previous portfolio companies but also in my capacity as a board member and advisor to several Clearlake portfolio companies. They are the optimal partners for PrimeSource at this stage in our Company’s evolution.  We are looking forward to continuing our exciting growth trajectory in the coming years.”

“We are excited to partner with Tom, Bill, and the entire PrimeSource management team,” said José E. Feliciano, Co-Founder and Managing Partner at Clearlake. “This new investment is a great example of our focus and expertise in the specialty industrial distribution sector. We look forward to leveraging Clearlake’s O.P.S.® playbook to capitalize on the Company’s market leadership and strong momentum to accelerate growth through both organic initiatives and acquisitions.”

“We have long admired PrimeSource for the breadth of its distribution network and unparalleled sourcing infrastructure. We look forward to investing behind the Company to bolster these capabilities, expand our product offering and increase the value PrimeSource delivers to its customers,” said Colin Leonard, Partner at Clearlake.

Moelis & Company is serving as Platinum Equity’s financial advisor on the sale of PrimeSource and Gibson, Dunn & Crutcher LLP is serving as Platinum Equity’s legal advisor. Deutsche Bank Securities is acting as Clearlake’s financial advisor and Kirkland & Ellis LLP is serving as Clearlake’s legal counsel on the transaction.

About PrimeSource
With 34 distribution centers throughout the US and more than 1,100 employees, PrimeSource is a global distributor of building materials serving residential, commercial, and industrial new-construction and remodeling markets as a value-added link in the distribution chain. Core products distributed under the nationally known Grip-Rite® and Pro-Twist® brands include: nails, screws, and collated fasteners; tools, compressors and accessories; residential and commercial roofing products; diamond blades and accessories, gypsum accessories, weather protection and covers, adhesives and caulks, contractor bags and poly sheeting, building accessories; rebar and concrete accessories; and fencing and wire. For more information, please visit www.primesourcebp.com, www.grip-rite.com, www.pro-twist.com.

About Platinum Equity
Founded in 1995 by Tom Gores, Platinum Equity is a global investment firm with approximately $23 billion of assets under management and a portfolio of approximately 40 operating companies that serve customers around the world. The firm is currently investing from Platinum Equity Capital Partners V, a $10 billion global buyout fund, and Platinum Equity Small Cap Fund, a $1.5 billion buyout fund focused on investment opportunities in the lower middle market. Platinum Equity specializes in mergers, acquisitions and operations – a trademarked strategy it calls M&A&O® – acquiring and operating companies in a broad range of business markets, including manufacturing, distribution, transportation and logistics, equipment rental, metals services, media and entertainment, technology, telecommunications and other industries. Over the past 25 years Platinum Equity has completed more than 250 acquisitions.

About Clearlake
Clearlake Capital Group, L.P. is a leading investment firm founded in 2006 operating integrated businesses across private equity, credit and other related strategies. With a sector-focused approach, the firm seeks to partner with world-class management teams by providing patient, long-term capital to dynamic businesses that can benefit from Clearlake’s operational improvement approach, O.P.S.® The firm’s core target sectors are industrials, technology and consumer. Clearlake currently has approximately $25 billion of assets under management, and its senior investment principals have led or co-led over 200 investments. The firm has offices in Santa Monica and Dallas. More information is available at www.clearlake.com and on Twitter @ClearlakeCap.

Investor Relations
and Media Contacts:

Mark Barnhill
Partner
+1 310.228.9514 E-mail Mark

Dan Whelan
Principal
+1 310.282.9202 E-mail Dan

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CoConstruct Acquires CBUSA

Serent Capital

October 30, 2020

CoConstruct, the Virginia-based SaaS provider of project, financial, and client management software for independent home builders and remodelers, announced that it has acquired CBUSA, the US’s largest group purchase organization that allows custom and semi-custom builders to combine their buying power to more effectively compete with national builders. The acquisition complements CoConstruct’s existing construction software, which its customers use to manage the financials of building projects, by integrating group purchasing programs that improve the underlying economics of residential construction.

CoConstruct, the #1-rated construction software for independent home builders and remodelers for ten years running, is used by more than 5,000 residential construction companies managing over $23 billion in projects in the past year alone. Handling everything from communication tracking, field scheduling, and payment processing, CoConstruct plans to use this acquisition to further the company’s “Build Together” mantra by expanding its community-building efforts beyond best practice sharing to lowering hard costs on projects.

CBUSA, founded in 2004 by Bill Smithers, operates a group buying network of 500 custom and independent home builders in 29 geographic markets, whose combined new home starts rank it as the seventh-largest home builder in the United States. Bill, and the entire CBUSA team, will continue with CoConstruct to expand their work in the combined company.

“CoConstruct is a business improvement company — not just a software company — for builders and remodelers,” said Donny Wyatt, Founder and CEO of CoConstruct. “Bill and the CBUSA team have that same ‘business improvement’ mindset. We’re excited to combine the two companies’ approaches into one integrated solution that makes it simple for customers to take advantage of the hard dollar cost-savings from CBUSA’s power buying model by integrating them into the efficiency-boosting, all-in-one financial workflow that CoConstruct has today.”

“This is the next phase in supercharging our company and will help our team to fully realize CBUSA’s vision,” said Bill Smithers, Founder and CEO of CBUSA. Bill will become a CoConstruct shareholder as part of the transaction. “The more volume we have in the market, the greater our buying power, which is at the core of our “strength in numbers” approach. By combining our expertise in purchasing with CoConstruct’s technology platform and large customer base, we are able to bring more value to our network and unrivaled opportunities for operational improvement.”

While work will begin immediately on integrations to bring enhanced value to CoConstruct users, existing CBUSA customers who are not currently using the CoConstruct platform will continue to participate and benefit from the CBUSA network, as they have in the past. The combined teams will also be working with CBUSA’s national manufacturer partners to help them best capitalize on the greatly expanded post-acquisition reach of the group purchase network.

About CoConstruct

CoConstruct is the highest rated construction software for home builders and remodelers as ranked by Gartner’s SoftwareAdvice.com and has been named to the Inc. 5000 list for the last seven years. The company’s cloud-based project management tools help independent builders and remodelers coordinate their projects, communicate better with clients & crews, and control the financials of their jobs. Users can manage their projects from their tablet or desktop, or in the field with a mobile app. CoConstruct is backed by San Francisco- and Austin-based private equity firm Serent Capital in 2018. For more information on CoConstruct, visit www.coconstruct.com.

About CBUSA

CBUSA is a powerful homebuilding network devoted to the success of independent home builders by reducing costs, increasing service levels, and creating a community of shared knowledge. The company is currently established in 29 cities nationwide, with a distributed team of 16 employees focused on serving and expanding their markets. www.cbusa.us

Serent Capital invests in growing businesses that have developed compelling solutions that address their customers’ needs. As those businesses grow and evolve, the opportunities and challenges that they face change with them. Principals at Serent Capital have firsthand experience at capturing those opportunities and navigating these difficulties through their experiences as CEOs, strategic advisors, and board members to successful growing businesses. By bringing its expertise and capital to bear, Serent seeks to help growing businesses thrive. Learn more about our portfolio companies.