Auxo Investment Partners acquires manufacturers

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Auxo Investment Partners managing partners, from left, Jeff Helminski, Jack Kolodny and Fred Tedori Courtesy Auxo Investment Partners

A local private equity firm acquired a pair of manufacturers based in Indianapolis.

Grand Rapids-based Auxo Investment Partners said Monday that it acquired Paramount Tube and Euclid Medical, two companies operating under the Indianapolis-based Precision Products Group (PPG) brand.

Terms of the deal were not disclosed.

Paramount Tube makes small diameter spiral-wound and extruded tubular products and is known for providing highly customized, tight tolerance and uniquely shaped solutions. Applications include components for electric motors, transformers, fuses, automotive, single-dosage medications, pharmaceutical packaging, eco-friendly consumer packaging and military ordinances.

Euclid Medical designs, engineers and manufactures highly engineered, automated single- and multidose pharmaceutical packing systems driven by proprietary software for use in hospitals, retail pharmacies and long-term care facilities. Euclid Medical also converts medical-grade films into consumable unit-dose pharmaceutical packaging.

PPG’s roots date back to 1888 and the invention of the spiral wound straw by Marvin Stone. Today, the company serves customers around the globe from facilities in Indianapolis; Apple Creek, Ohio; Fort Wayne, Indiana; and Huizhou, China.

“We selected Auxo as our partner because of their desire to support our vision for growth and the values our organizations share,” said Dave Hooe, CEO of PPG, who will continue in his leadership role. “We think Auxo’s hands-on investment approach will bolster our ability to aggressively pursue our growth plan and ensure a prosperous future for our company and for our longstanding employees.”

In partnership with Auxo, PPG will expand its process capabilities and introduce specialized materials application knowledge and custom engineering solutions to new markets.

“We were immediately impressed with PPG’s unique capabilities and dominant market position,” said Jeff Helminski, managing partner of Auxo. “It’s clear the company’s values are closely aligned with ours — and its success has been driven by the leadership team’s unrelenting pursuit of excellence and customer service. We’re excited to work with Dave and his team to honor the legacy they have built and support them in leveraging their unique capabilities to expand their global footprint both organically and acquisitively.”

Added Jack Kolodny, also a managing partner with Auxo: “We couldn’t be more thrilled to be working with the PPG team. This is exactly the kind of company we had in mind when we formed Auxo, and we look forward to being an active and additive partner in the continued growth of an already outstanding company.”

Advisers and lenders on the transaction included Cleveland-based Brown Gibbons Lang and Company; Grand Rapids-based Miller Johnson; Indianapolis-based Barnes & Thornburg; Chicago-based BDO USA LLP; Greyrock Capital Group in Chicago; Grand Rapids-based Mercantile Bank of Michigan; London-based Aon; New York-based Krauter & Co.; and St. Louis-based JW Terrill.

This marks Auxo’s seventh acquisition in the firm’s inaugural investment fund, Auxo Growth Holdings I LLC, which closed in fall 2018.

Since its founding and prior to purchasing Paramount Tube and Euclid Medical, Auxo previously acquired six companies, including a platform of industry-leading cutting die manufacturers, comprised of Bernal Rotary Dies, Atlas Die, Atlas flex and Midway Rotary Die Solutions; M/G Transport Services; Prestige Stamping; and Andrie.

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