Pamplona Capital Management LLP, a global private equity investment firm, has agreed to acquire BBB Industries LLC. The transaction is expected to be completed during the fourth quarter of 2014.
Founded in 1987 and headquartered in Mobile, Ala., BBB is a leading remanufacturer of automotive products for the North American aftermarket. The company’s distribution platform allows it to serve warehouse distributors and retailers with a portfolio of 20,000 SKUs.
During the past few years BBB said it has experienced significant growth, driven by new business wins, expansion into new products, and strategic acquisitions, supported by remanufacturing facilities in Reynosa, Mexico and Sparta, Tenn.
Joe Felicelli, Chief Executive of BBB, said “We are delighted to be partnering with Pamplona. We have worked hard over a number of years to position ourselves as an industry leader with a broad product offering and a reputation for being the solution provider for our customers. Under Pamplona’s ownership we will continue to provide our customers with high-quality products and an excellent distribution service but most importantly, we will continue our commitment of supporting the growth of our customers.”
Martin Schwab, the partner at Pamplona leading the transaction, said “BBB is an excellent business and we are delighted to be partnering with an exceptional management team who has grown the company significantly over the last few years. Pamplona will work with management to accelerate the company’s growth ambitions by providing long-term financial and strategic support. We believe there are significant opportunities to grow both organically and through acquisition and are excited to be part of the business going forward.”
The acquisition will be made from Pamplona’s fourth private equity fund, Pamplona Capital Partners IV LP, a $4 billion investment vehicle, raised earlier this year. Pamplona was advised by Houlihan Lokey and XMS Capital while Hogan Lovells US LLP acted as legal counsel.
Pamplona is a London and New York based specialist investment manager established in 2005 that provides an alternative investment platform across private equity, fund of hedge funds and single manager hedge fund investments. Pamplona manages more than $10 billion in assets across a number of funds for a variety of clients including public pension funds, international wealth managers, multinational corporations, family offices and funds of hedge funds. Visit pamplonafunds.com for more information.
BBB Industries is an industry leader in the remanufacturing of alternators and starters to the automotive, medium and heavy-duty truck, industrial, agriculture, small engine and other markets. The company’s undercar division remanufactures power steering products for the automotive original equipment manufacturers and aftermarkets. The company also remanufactures brake calipers for automotive, light duty and medium duty applications. BBB Industries supplies products through a network of more than 1,000 dealer locations. For more information visit bbbind.com.
Subscribe to Aftermarket Business World and receive articles like this every month….absolutely free. Click here.
