SFS Group AG To Acquire Tegra Medical, A Riverside Partners Portfolio Company

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Nov 14, 2016, 09:38 ET

BOSTON, Nov. 14, 2016 /PRNewswire/ -- Riverside Partners, a Boston-based private equity firm, announced today that its portfolio company, Tegra Medical, has entered into a definitive agreement to be acquired by SFS Group AG, a global market leader for mechanical fastening systems and precision formed components based in Switzerland. Tegra Medical is a leading provider of precision machining and contract manufacturing services for the medical device industry. The company is headquartered in Franklin, Massachusetts and has a total of 200,000 square feet of modern manufacturing space in Massachusetts, Mississippi, and Costa Rica. Riverside Partners formed Tegra Medical through the acquisitions of New England Precision Grinding, Accu-Met Laser, and American Medical Instruments in 2007 and the subsequent acquisitions of CTW and a Costa Rica manufacturing operation in 2010.

David Belluck, a General Partner at Riverside Partners, said, "This is a very exciting development for Tegra Medical. During our ownership, the company experienced a significant transformation and became a leading contract manufacturer through acquisitions, investments in technology, organic sales growth, and new customer wins." Max Osofsky, a Partner at Riverside Partners added, "Under the leadership of Mark King, Tegra solidified its preferred partnership with leading medical device OEMs by continuing to innovate and through an unwavering commitment to operational excellence."

"My management team and I are very excited about the combination with SFS Group. Like SFS, Tegra Medical is trusted partner that customers turn to in the early stages of the new product development process," said J. Mark King, Tegra Medical's Chief Executive Officer. "Under the guidance of Riverside Partners, Tegra Medical became an end-to-end solutions provider capable of addressing the most complex manufacturing needs of our medical device customers," said King. "This combination will ensure Tegra's long-term success and strengthens our ability to meet the current and future needs of our customers."

Upon the closing of the acquisition, Tegra Medical will be integrated into the Engineered Components segment of SFS and operate as an independent division of SFS Group AG. Tegra Medical will continue to be led by King and the existing management team. The transaction is expected to close after customary conditions have been met. Financial terms of the transaction were not disclosed.

Robert W. Baird & Co. and Stifel, Nicolaus & Company served as Tegra Medical's financial advisors in connection with this transaction. Choate Hall & Stewart served as legal counsel to Tegra Medical.

About Riverside Partners

Founded in 1989, Riverside Partners is a middle market private equity firm currently investing Riverside Fund V, L.P. The fund focuses on growth-oriented companies primarily in the healthcare and technology industries. Riverside Partners is particularly experienced at partnering with founders, owners and management teams and it brings substantial domain expertise and operating experience to its portfolio companies.

Today, Riverside Partners manages about $850 million of equity capital and seeks to make investments in companies with revenues between $20 and $200 million and with $5-$25 million of EBITDA. For more information, please visit www.riversidepartners.com.

About Tegra Medical

Tegra Medical is focused exclusively on the medical device industry, providing complete solutions from prototyping to full production, and from complex components to finished medical devices. Offering a wide range of manufacturing technologies, the company creates devices used in cutting-edge procedures for leading surgical, interventional and orthopedic companies. Tegra Medical has 200,000 square feet of modern manufacturing space in four locations and is ISO 13485:2003 and FDA registered and QSR compliant. The company combines a broad spectrum of capabilities with a can-do culture to deliver exceptional quality, solutions, speed and service. For more information, please visit www.tegramedical.com.

About SFS Group AG

SFS is a global market leader for mechanical fastening systems and precision formed components. SFS Group is organized into three business segments - Engineered Components, Fastening Systems und Distribution & Logistics which represent the three business models. In the Engineered Components segment, SFS partners with customers to develop and manufacture customer-specific precision formed components, fastening solutions and assemblies. The segment operates in the Automotive, Electronics and Industrial divisions and sells its products under the SFS intec (Automotive, Industrial) and Unisteel (Electronics) brands. In the Fastening Systems segment, consisting of the Construction and the Riveting divisions, SFS develops, manufactures and markets application-specific mechanical fastening systems under the SFS intec (Construction) and GESIPA (Riveting) brands. In the Distribution & Logistics segment with the SFS unimarket brand, SFS is a leading provider of fasteners, tools and architectural hardware as well as innovative logistics solutions in Switzerland. SFS Group is a global player with manufacturing sites and distribution companies at more than 70 locations in 25 countries around the world. Sales in business year 2015 amounted to CHF 1.376 bn and the work force numbered approximately 8,300.

For further information visit www.sfs.biz

SOURCE Riverside Partners