Shale-Inland to be Acquired By an Affiliate of TowerBrook Capital Partners and The Stephens Group
On Transaction Close, Company Expected to Be Combined with HD Supply's IPVF business
Combined Company Would Build Presence Serving the Global Energy Markets
CHICAGO, March 12, 2012 /PRNewswire/ -- Shale-Inland today announced the execution of a definitive agreement pursuant to which the company will be acquired by Shale-Inland Holdings, LLC, an affiliate of investment firms TowerBrook Capital Partners L.P. ("TowerBrook") and The Stephens Group, LLC. Terms of the transaction have not been disclosed. The transaction is expected to close by the end of March.
On transaction close, Shale-Inland is expected to be combined with HD Supply's IPVF business ("IPVF"), comprised of several businesses including Southwest Stainless & Alloy, J& J Alloys, Sunbelt Supply Co. and Metals Inc., collectively one of the nation's largest master and industrial distributors of stainless steel, chrome, nickel and nickel alloys, aluminum and carbon steel pipe, plate, bar, coil, sheet, valves, flanges and fittings – with capabilities to ship products all over the world. IPVF's parent company, HD Supply, has also entered into a definitive agreement to sell IPVF to Shale-Inland Holdings, LLC. That transaction is also expected to close by the end of March.
"We are excited to embark on this new phase for Shale-Inland, which we expect will help take our company to a new level of performance," said Craig T. Bouchard, Chief Executive Officer of Shale-Inland. "The potential combination of the assets and people of IPVF's businesses with Shale-Inland would create a powerful and well-diversified industrial supply business serving over 6000 customers on 4 continents."
"Aligning Industrial PVF with an owner focused solely on their business model will allow them to capitalize on the momentum they have built," stated Joe DeAngelo, CEO of HD Supply. "Shale-Inland's market focus will provide additional opportunities to accelerate future growth for the IPVF business and its employees."
Further details will be announced at the close of the transaction.
About Shale-Inland
Shale-Inland combines stainless, aluminum, carbon steel and protective film distribution with stamping and fabrication. We pursue world-class customers and provide them with service that engenders fierce loyalty. With a recovery in our economy, we believe American manufacturing is on the verge of a renaissance. Shale-Inland's mission is to optimize supply chain management and deliver a broad spectrum of metal or finished parts just-in-time to allow our customers to be creative in assembling their products and streamlining their processes. For more information, visit www.shale-inland.com
About TowerBrook Capital Partners L.P.
TowerBrook Capital Partners L.P. is an investment management firm with approximately $4.5 billion of capital under management. With offices in New York, London and San Francisco, the firm focuses on making investments in North American and European companies. TowerBrook primarily pursues control-oriented private equity investments in large and middle market companies, partnering with highly capable management teams, often in situations characterized by complexity. For more information, visit www.towerbrook.com.
About The Stephens Group, LLC
The Stephens Group, LLC, is a private, family-owned firm that invests its capital in private companies with exceptional management teams in growing industries. The principals of The Stephens Group have over 70 years of history in successfully investing in both minority and control positions across multiple industries. The Stephens Group, through its affiliates, has large positions in energy services, gas exploration and production, media, communications, consumer, manufacturing and other industries. For more information, visit www.stephensgroup.com.
About HD Supply
HD Supply (www.hdsupply.com) is one of the largest industrial distribution companies in North America. Through a diverse portfolio of industry-leading businesses and more than 80 years of experience, the company provides a broad range of products and services to approximately 450,000 professional customers in the infrastructure and energy, maintenance, repair and improvement, and specialty construction markets. With approximately 680 locations across 45 states and nine Canadian provinces, the company's 14,500 associates provide localized, customer-driven services including jobsite delivery, will call or direct-ship options, diversified logistics and innovative solutions that contribute to its customers' success.
SOURCE Shale-Inland
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