Apax Partners Completes Acquisition of CONTECH

CONTECH Construction Products Inc., a civil engineering site solutions products and services company, and funds advised by Apax Partners Worldwide, a private equity investment groups, today announced that Apax Partners Worldwide have completed their acquisition of a majority ownership interest in CONTECH. The transaction had a total enterprise valuation of more than $1 billion.

"This is a very exciting time for us. Apax Partners brings strong financial resources and a well-established international presence to CONTECH. We welcome their expertise as we identify value-creating, add-on acquisitions to grow our business and provide our customers with solutions that will meet their needs and add dollars to their bottom line,” said Patrick Harlow, chairman and chief executive officer of CONTECH Construction Products Inc.

David Kim, partner of Apax Partners, commented, “Apax Partners is fortunate to have the opportunity to partner with CONTECH’s unusually talented management team. We look forward to working together as they continue to grow this outstanding company organically and through acquisitions.”

In addition, CONTECH has announced a market focused realignment of its business. The new organization will consist of four operating divisions: Environmental Stormwater Solutions, Bridge Solutions, Earth Stabilization Solutions, and Drainage Solutions as well as a new national sales organization--CONTECH Sales, which will be responsible for selling all of the company’s products. The organizational realignment will enable CONTECH to better serve its customers and more effectively accommodate expected rapid future growth.

”The breadth of CONTECH’s product offering has grown significantly in the past five years,” according to Godfrey Little, chief operating officer of CONTECH. “That growth requires that we now realign our business to ensure we maintain the proper marketing and customer focus. It will enable our engineering and commercial resources to be experts in the areas most important to our customers. Whether it’s a CON/SPAN bridge, a Vortechs storm water treatment unit, or a Tensar geogrid, the realignment will provide our customers with a very clear, single-source contact and assure that our market-focused organization is providing the best in cutting edge products, technology, and cost effective solutions.”

Ohio-based CONTECH is a recognized industry leader in the design, manufacture and distribution of specialty construction products sold to the civil engineering infrastructure sector of the heavy construction industry. The company’s sales are approximately $750 million and have grown at a double-digit rate over the last 5 years. The realignment positions the company to continue its impressive performance and offer additional customer value.

Source: Contech