August 29, 2012 — Yukon Partners (“Yukon”) announced today that it has completed a mezzanine debt and equity co-investment in Aarrowcast Inc. (“Aarrowcast” or the “Company”). The transaction was an acquisition of the privately-owned business by Industrial Opportunity Partners (“IOP”), in partnership with Aarrowcast’s senior management team.Aarrowcast is an industry-leading provider of ductile, gray, and austempered ductile iron castings that specializes in large, complex castings utilizing sophisticated metallurgy. Aarrowcast features three separate molding lines, including the largest automated green sand flask in North America – the Georg Fischer line, which is also the second largest such flask in the world. The Company operates from its single plant location in Shawano, Wisconsin and manufactures castings for equipment in the agriculture, off-highway heavy truck, military and construction markets.
Adam Gottlieb, Senior Managing Director of IOP, said, “This is the second acquisition in which IOP has partnered with Yukon. In both cases, Yukon quickly assessed the merits of the transaction and put forth a well-developed financing proposal that gave IOP an advantage in being selected as the acquirer.”
“Aarrowcast has unique manufacturing capabilities and we believe that the highly experienced management team complemented by IOP’s value-added operating expertise will further the Company’s success. We are excited to once again partner with IOP.” said Michael Hall, a Managing Partner at Yukon.
Aarrowcast (www.aarrowcast.com) is a leading provider of ductile, gray, and austempered ductile iron castings that specializes in large, complex castings utilizing sophisticated metallurgy. The Company’s products are sold to global original equipment manufacturers in the agriculture, off-highway heavy truck, military and construction industries. Aarrowcast operates from a single facility in Shawano, Wisconsin.
Yukon Partners (www.yukonpartners.com) is a mezzanine finance firm dedicated to serving middle market private equity sponsored business transactions with a typical investment range of $10 to $40 million in the U.S. and Canada. The transactions in which Yukon invests include Buyouts, Growth and Platform Strategies, Recapitalizations, Mergers/Acquisitions, Public to Private Buyouts, and Refinancings. Yukon Partners is based in Minneapolis, Minnesota.
IOP (www.iopfund.com) is an Evanston, Illinois based private equity firm dedicated to creating value through investing in manufacturing and value-added distribution businesses with sales between $30 million and $350 million. IOP focuses on businesses with strong product, customer, and market positions, and provides management and operational resources to support growth in sales and earnings at its businesses.
For more information, please contact:
Michael J. Hall