MCM Capital Acquires Manufacturer and Distributor of Garage Door Parts and Accessories
Cleveland, OH – MCM Capital Partners, a Cleveland, OH based lower middle market private equity fund, is pleased to announce the formation of Torsion Group Corp. (“TGC”), an entity created to acquire niche manufacturers and value added distributors of commercial and residential garage door parts and accessories. TGC has recently completed the acquisition of Action Industries www.action-ind.com (Cleveland, OH; Cudahy, WI; Tucker, GA; Tempe, AZ), Torsion Source www.torsionsource.com (Peninsula, OH), Torsion Plastics www.torsionplastics.com (Evansville, IN) and Flex Brush www.flex-brush.com (Cleveland, OH). Through these acquisitions, TGC offers a compelling value proposition to garage door OEMs, installers, contractors and dealers with its national footprint, extensive product line, proprietary products and dedication to same day fulfillment.
MCM partnered with the President of the four entities, Mr. Marc Calcaterra, to affect the transaction. Mr. Calcaterra will hold a significant ownership position and serve as the Chief Executive Officer of TGC moving forward.
Action Industries, founded in 1980, began as a small distribution business offering commercial garage door installers and dealers quality aluminum weather seals from a single location in Cleveland, OH. The Company has expanded significantly over the past decade under Mr. Calcaterra’s leadership and guidance. Marc and his team grew Action Industries from a single location serving four states to four strategically located distribution centers carrying an expansive breadth of product including, but not limited to, weather seals, aluminum retainers, windows, trim board, hardware and accessories while delivering best in class fulfillment to the entire U.S. and parts of Canada.
Torsion Source, Torsion Plastics and Flex Brush provide TGC manufacturing capabilities. The aforementioned companies enable TGC to better control quality and lead time, develop proprietary and differentiated products for its OEM and distribution customers and an opportunity to further penetrate the residential OEM garage door market.
Marc Calcaterra, CEO of TGC commented, “I am very enthusiastic about the partnership we forged with MCM. Historically, we’ve operated the businesses as separate entities. With the creation of Torsion Group Corp., we can leverage the strengths of each entity under one consolidated business.” He continued, “I look forward to collaborating with the MCM team on strategic initiatives to leverage this consolidation and accelerate our growth opportunities.”
MCM Principal, Bobby Kingsbury, led the transaction on behalf of the firm. Mr. Kingsbury stated, “TGC is a perfect fit with MCM’s investment focus, the end market is large and fragmented, the garage door repair and maintenance market has favorable long term underlying demographic drivers, and the Company engenders a cultural focus of exceptional quality and customer service.” Mr. Kingsbury further stated, “We are extremely excited to partner with a talented CEO and be a value added resource to Marc and the Company.”
Participating alongside MCM in its investment of TGC was 747 Capital, a New York City based investment firm. Senior debt was provided by KeyBank. Collectively, the investment group brings significant financial resources to allow the management team to execute its growth objectives.
Torsion Group Corp. is the third platform investment in MCM Capital Partners III, L.P.