Merit Capital Partners is pleased to announce a new Fund VI investment. Elgen Manufacturing Company represents the 13th platform investment in our portfolio. Notably, this transaction was completed alongside an independent sponsor, a strategy that continues to be a highly attractive to Merit. To date, Merit has invested over two-thirds of Fund VI’s $536 million of committed capital. We continue to pursue new investment opportunities as well as seek add-on acquisitions for existing portfolio companies. In addition to supporting independent sponsor transactions, Merit is actively looking to partner with business owners, management teams and shareholders to provide flexible capital for management buyouts, recapitalizations, acquisition financings, ESOPs and other shareholder liquidity events.
Merit Capital Partners recently partnered with MFG Partners (a New York-based investor) and existing management to acquire Elgen Manufacturing Company (“Elgen” or the “Company”).
Elgen, headquartered in Closter, New Jersey, engineers, manufactures, and markets ductwork accessory products that are used by HVAC contractors in commercial buildings. The Company is a “one-stop shop” for nearly all accessory products, selling under the Elgen and Capital Hardware Supply brand names. The Company provides a mix of stock parts and custom components to match its customer’s unique product needs.
Evan Gallinson, a Managing Director at Merit, said “This transaction represents an exciting opportunity for our firm to assist Elgen as they pursue numerous product line and geographical growth initiatives in the HVAC industry. We are pleased to team up with MFG and management as we look forward to a highly successful partnership.”
Merit provided subordinated debt and equity in this investment. Please contact Evan Gallinson or Lauren Hamlin for more details.