Charlesbank sells Tecomet to Genstar after 3x EBITDA growth

  • Charlesbank Capital hikes Tecomet EBITDA by nearly 3x, sells to Genstar
  • Medical device manufacturer was expected to fetch a price of 10x
  • Genstar cites ‘impressive growth’ at Tecomet

Terms of the deal weren’t disclosed. Tecomet was expected to fetch a price of 10x on the selling block, according to a GP who spoke to sister publication peHub in September.

“We share a similar vision towards continuing Tecomet’s growth both organically and through acquisitions,” Tecomet CEO Bill Dow said in a prepared statement about Genstar.

Rob Rutledge, principal at Genstar Capital, said Tecoment stands out as ”one of the premier precision manufacturers  for the medical device and aerospace and defense industries.” The San Francisco-based private equity firm plans to ”expand the company’s capabilities, product offering and geographic reach,” he said.

The Wilmington, Mass.-based company, originally founded in 1964, completed two strategic acquisitions, expanded its customer base and nearly tripled its EBITDA with Charlesbank Capital.

Brandon White and Josh Klevens, managing directors at Charlesbank Capital, said Tecomet chalked up “terrific growth” that generated an “attractive return” for limited partners. Boston-based Charlesbank Capital completed its acquisition of Tecoment from Cardinal Health in 2008.

Harris Williams advised on the sale of Tecomet to Genstar.