NuVescor Advises Control Dynamics In Acquisition By Verona Industrial Controls

by | Mar 28, 2024 | Automation, Completed, Home Feature, Manufacturing, Sell Side Feature

NuVescor Advises Control Dynamics In Acquisition By Verona Industrial Controls​

NuVescor Group is pleased to announce the successful sale of Control Dynamics, Inc., to Verona Industrial Controls

Control Dynamics (CDI), based in Hudsonville, MI, was founded in 1985 as the controls and integration division of Electro-Techniques, Inc., an industrial electrical contracting firm, and incorporated as a separate entity in 1998. The business provides inclusive turn-key controls integration and specializes in designing and developing software and electrical controls for Manufacturing Data Systems, Process Control Systems, and Material Handling Systems, along with the capability of electrical panel assembly, programing, and hardware design. Additionally, CDI has successfully developed and marketed the trademarked Labelwright® labeling system for the food, beverage, and other industries.

Verona Industrial Controls (VIC) is a new entity created by the ownership of Verona Industrial Equipment, LLC (VIE). Founded in 1932, Verona Industrial Equipment is one of the largest independent motor and drive distributors in the United States. VIE carries a $2M inventory of motors and controls in warehouses in Howell and Kalamazoo, Michigan. VIC will operate the new company under the DBA Control Dynamics Integrators (CDI).

As the technology of “soft” starting and speed control of electric motors has grown due to energy saving requirements, CDI saw the opportunity to add electrical controls design and build as value added products and services.

One of the primary goals VIC had for a new acquisition was for the company to be self-managing. VIC recognized CDI as a self-managing, profitable company with an excellent existing management team.

“I see many benefits and opportunities for the team and the company from joining together with Verona Industrial Controls!” said Dean Rockwell, former owner of Control Dynamics Inc.” The new owners are excited about the potential and, in the short time since closing this deal, they have demonstrated a full commitment to developing the new opportunities that such an alliance brings to both companies.” Rockwell will stay on as a consultant to the new company for six months.

With the addition of new sales personnel and the existing sales team, VIC will aggressively pursue new markets and offer existing clients and customers of VIC the products and services of Control Dynamics.

VIC sees future growth in acquisitions of distribution of industrial electrical controls components and hardware and possible “bolt-on” companies to CDI to expand their capabilities and capacity.

Control Dynamics Inc. was assisted in the transaction by the NuVescor Group. “In the process of evaluating many suitors, our goal was to find a firm that was established in the industrial sector, leadership who appreciated the value and capabilities of Control Dynamics, Inc., and recognized how such an acquisition could increase and expand opportunities for their already successful business,” said Rockwell. “I was not looking for the greatest net return; I wanted potential for the best outcome for my people and for the buyer.”

Randy Rua, President of NuVescor, said, “We were honored to work with Dean to find a buyer who would continue the proud legacy of Control Dynamics. The acquisition by Verona Industrial Controls was a win-win for both parties.”

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GLOBAL NICHE CONSUMER PRODUCTS MANUFACTURER

by | Mar 27, 2024 | Active, Manufacturing

GLOBAL NICHE CONSUMER PRODUCTS MANUFACTURER

This U.S.-based Company is a longtime leader in the manufacture, sales and distribution of luxury goods cleaning and polishing products, supplying retailers, designers, manufacturers, and retail customers domestically and globally. Its primary sales are business-to-business, but it has recently expanded to sell directly to consumers. Over many decades in business, the Company has earned thousands of loyal customers. Its products are sold in a variety of distribution channels, including some of the world’s largest retail chains, television, and ecommerce, through both private labelling and two house brands. Its successful products and operations have earned it a strong reputation and multiple accolades within its industry. The Company’s wide range of products and services and ability to produce in large quantities far exceed its competitors’ capabilities.

GROWTH OPPORTUNITIES

House brand sales – The Company has barely scratched the surface in expanding sales beyond its traditional business-to-business focus. This includes direct-to-consumer sales and opening the house brands to additional retailers.

International / U.S. expansion – The Company has some international distribution but given the lack of global producers, has significant opportunity to expand throughout South America, Europe and Asia, in addition to further growth in the U.S.

Room to grow – Its facility is currently operating at less than full capacity. The Company is capable of increasing production without additional investments in people, processes, technology or equipment.

INVESTMENT HIGHLIGHTS

 Broad range of services – The Company provides turnkey solutions to its private label clients with not only cleaning products and customized packaging, but also marketing and education to help win over consumers.

Loyal customers – The Company has earned thousands of active, long-term customers both in the U.S. and internationally.

Winning reputation – A standout in its industry, the Company has received accolades from business publications for its strong growth and quality products.

Established sales, marketing – An experienced sales team is backed by email marketing campaigns, the Company’s website and annual appearances at the world’s largest industry tradeshow in its primary channel.

High-profile partners – The Company’s products are in a wide variety of channels nationwide and globally, including large retail chains, television, specialty retailers, and e-commerce.

Innovative company – Over many decades in operation, the Company has listened to the market and
customer feedback and adapted accordingly and is widely regarded as the global category leader.

2023 Revenue: $7,500,000

2023 EBITDA: $750,000

 

Contact:

NuVescor Group

(616) 379-4047 Ext: 106

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