We Buy Tough-to-Sell Manufacturing Companies (2).png

We understand manufacturing.

When companies have low, no, or negative EBIDTA, we see value.

We buy the equipment, real estate, receivables, inventory, vehicles, and intellectual property.

Where we add value:

If you have a manufacturing business that just won’t sell, don’t exit the deal yet - call us first.

Is only a portion of the business sellable? We can buy the remainder.

 

Our Operating Businesses

We invested in a manufacturing company, and its employees.

DRS Industries, an Ohio-based tool manufacturer and custom injection molding company had large clients and a sterling reputation. Yet its passive investors were unwilling to fund operations and put the company into receivership. We stepped in, forming a new entity to purchase and operate DRS. We not only saved 35 jobs, but now, with a new infusion of capital, we are expanding production.

We also see the opportunities for synergy between DRS and our other portfolio companies and are actively look for bolt-on businesses.

 

We Turned around this aluminum extrusion company.

Central Florida-based Benada Aluminum Products, with annual revenues of $100M, was facing a time of transition—its private equity owner was fatigued, leaving the company in limbo. Working with existing leadership, Big Shoulders Capital and our operating partner stepped in to purchase the company, secured by its considerable collateral, including real estate. At the time, the company’s EBITDA was negative. We recruited industry leader, Jim Piperato to orchestrate a turnaround, and the company remains a profitable part of our portfolio today.

 

We held the key to saving this metal locker manufacturer.

Lyon Workspace was a leading manufacturer of top-quality metal lockers and industrial storage products in Illinois was forced to declare bankruptcy despite $75M in annual revenues. We recognized their value, purchased the company out of bankruptcy, and brought on an operating partner to steer it in a new, profitable direction. We exited with their profits—and future—stabilized.

A company is saved, along with more than 100 jobs.

Savannah Industrial Solutions manufactures metal and wood products for the restaurant, food service, healthcare, telecommunications and municipal markets, among others. A private equity group purchased the company, but the resulting debt burden was more than operations could support. At BSC, we saw great potential in their business and the skills and talent of its employees. So we formed a joint venture to purchase the company’s assets, confident that if we invested in Savannah’s people, we could create real value for its customers. In 2021, we invested $1M in a new state-of-the-art powder coating line at Savannah.

 

We unlocked the profit potential of this fastener manufacturer.

A private equity firm bought a Wisconsin-based manufacturer of fasteners and rivets serving the automotive industry. Unfortunately, the PE group began facing challenges, so BSC stepped in and purchased the company through a bank process. We recruited the former management team, which had since left the company, to return. After rightsizing the business to ensure sustainability, BSC was approached by an international strategic buyer who is operating the business today.

 

We stepped up to the plate to rescue this steel plate fabrication company.

A manufacturer that fabricated steel plates for the construction, agricultural, mini-equipment and power generation industries had revenues of $40M per year. But a judgment after years of costly litigation sent them into bankruptcy. BSC was the winning bidder at their bankruptcy auction, and formed a new company: LB Metals, LLC. After successfully stabilizing the company, we sold our interest to a strategic buyer who is running the company today.

 
 

For more information, contact Linda Budz | 224.927.5325 | linda.budz@bigshoulderscap.com