Mission Design & Automation Makes Michigan Top 50 Companies To Watch Following Acquisition

Mission Design & Automation Makes Michigan Top 50 Companies To Watch Following Acquisition

Mission Design & Automation Makes Michigan Top 50 Companies To Watch Following Acquisition

When we last wrote about Mission Design & Automation, we were sharing the news that they were acquired by Concurrence Capital Holdings back in 2017. Now, 5 years later, we’re pleased to announce that the Ottawa County-based manufacturing automation company was named as one of The Michigan 50 Companies To Watch by Michigan Celebrates Small Business (MCSB). We’re proud to have been able to watch Mission grow after working with Rua Associates to represent Mission during their acquisition. We also think a lot can be learned from their example.

Here are several key takeaways for other manufacturing or automation businesses that are looking to sell and for companies looking to acquire those businesses.

Under new ownership, new growth is possible

Mission Design & Automation’s acquisition by Concurrence Capital Holdings has yielded positive results for both organizations. As a private investment and management firm, Concurrence was able to offer strategic capital, expertise, and partnerships to the already successful structure and technology of Mission. This allowed Mission even more room to grow and develop into the successful business we see today while allowing Concurrence Capital to benefit from that growth.

Commenting on the acquisition in 2017, Michael Brom, Managing Partner at Concurrence Capital Holdings predicted: “They are well-positioned for even greater growth as the automation industry continues to flourish. Jason Byrd and I are thrilled to partner with them and leverage our experience to help support their continued growth.”

Today, we are seeing that this prediction was correct both in regards to the growth of Mission Design & Automation and the growth of the manufacturing automation sector. In fact, the industrial automation market is expected to reach $355.44 Billion by 2028 with a CAGR of 9.2% between 2021 to 2028.

For sellers, a merger or acquisition can perpetuate your legacy

When you own a business, your employees rely on you. But it’s important to remember that deciding to step away does not mean your employees will not be taken care of. Mission Design & Automation’s success has allowed its employees to continue to grow and develop in their roles and responsibilities while also providing opportunities for promotion within the Concurrence Capital Holdings LLC network. A merger or acquisition can often lead to more jobs within the company allowing previous owners to improve the positive effects they have already had on their community even after stepping away.

Looking to build value with an exit plan in mind? Or looking to grow your business through mergers and acquisitions? NuVescor can help.

Whether you’re looking to buy, sell, or merge, Nuvescor can help you achieve your M&A goals. With years of experience and a proven process, our team delivers excellent results, whether you want to buy or sell a business. When you work with us, you are not just getting one person; we have a team of people who will help you with each different aspect of your business transaction.

Below is a list of all the services our team provides:

  • Transaction Facilitation
  • Project Management
  • Market Development
  • Financial Analysis
  • Business Writing
  • Transaction Support
  • Access To Our Network of Potential Buyers & Sellers

 

If you’re interested in learning more, click here to get in contact with us!

Growth Spurt: Pennsylvania Company Hits The Acquisition Trail

Growth Spurt: Pennsylvania Company Hits The Acquisition Trail

Growth Spurt: Pennsylvania Company Hits The Acquisition Trail

View the original article by Axial here!

Pennsylvania native Chris Gallagher grew up watching his grandfather, father, and uncles run The Walter B. Gallagher Company, a gaskets and seals distributor near Philadelphia. Little did he know then, that in 2017, he would take the role of CEO and grow the company not only organically but through numerous acquisitions. 

“My goal is to get to $100 million in sales for our company, and I think we’ll get there in the next three to five years,” Gallagher said recently about the business, now renamed Gallagher Fluid Seals, Inc. and based in King of Prussia, PA. “In 2014, we were a $17 million company, and next year we’re forecasting sales of $75 million  and that has come through aggressive M&A.” 

Chris Gallagher clearly conveys momentum. His company has completed multiple acquisitions since he stepped into his chief executive role, including three in 2022 thus far. In January, the business snapped up IES Technical Sales, a Danvers, MA-based provider of high-technology vacuum and semiconductor products. In March, Gallagher bought IEQ Industries, a Grand Rapids, MI-based virtual distributor of pumps and parts for use in commercial and industrial applications, largely for oil and gas production. And on May 13, Gallagher’s company acquired Packing Seals & Engineering, a Fitzgerald, GA-based distributor of gaskets, seals, and other sealing products. And according to Chris Gallagher, there’s more to come. 

By all accounts, it takes a village to operate and guide a rising star like Gallagher Fluid Seals. But there’s no doubt that Chris Gallagher, now age 42, is leading the charge with his eyes on growth through acquisition. His no-nonsense, straightforward personality has manifested well at the deal-making table and he has a knack for shortening the transaction process.

“My first impression of Chris Gallagher was that he was a genuine person what you see is what you get,” said Joseph Bichler, former owner of IEQ. “By the end of that hour-and-20-minute meeting, I had a real sense that he was a man of integrity, and that gave me a sense of peace about completing the deal.” Gallagher Fluid Seals, Bichler said, was “the perfect buyer”, and the deal closed in a record two months.

Bichler chose to sell IEQ because he was ready to retire, and wanted someone else to take his six-employee business to the next level and expand on CXI, his company’s not-yet-launched asset management system that enables pump customers to order the right equipment and components, no matter their location. Chris Gallagher, meanwhile, was attracted to IEQ because the business was profitable (last year the company’s sales hit $6 million, Bichler said), had 10 websites used to promote its pumps and parts, and had developed CXI, which could be used for managing not only pumps but other products as well.

To help sell the company, IEQ hired NuVescor, a Michigan-based M&A advisory firm focused on manufacturing, who used the Axial platform to market the project. Almost 100 buyers in total inquired about IEQ, and eventually four active suitors remained. But in the end, Bichler only personally met with Chris Gallagher, and the two connected immediately. Gallagher “pushed hard delivering the first draft of the purchase agreement, and was responsive and timely,” noted Travis Ernst, NuVescor’s managing director. “He was able to move through the diligence process quickly.” Chris Gallagher made a cash offer which was swiftly accepted and his company retained all six IEQ employees who continue to run the systems and platforms today.

Milestones and Missions

The Walter B. Gallagher Company launched in 1956, and generated sales of $48,000 in the first year, according to the company’s current website. Walter’s mission was “to found and develop and grow an independent distributor of sealing products that could form a loyal customer base,” said Chris Gallagher about his grandfather. By 1961, the company was incorporated and surpassed its first $1 million in sales. In 1975, Walter’s three sons, including Chris’ father Brian, joined the business, and in 1983, Chris’ uncle Joseph was elected president and chief operating officer.

The company did a handful of acquisitions between 1983 and 1994, and then took a 20-year pause until January 2014, when it purchased Johnson Packings, a seal distributor and gasket fabricator in Massachusetts. With that deal Gallagher inherited 28 new employees and became one of the largest sealing distributors in the United States, the website reported. That deal was “a big swallow,” increasing the company’s sales by 50% overnight, Chris Gallagher said. 

Since stepping in as CEO, Gallagher’s desire to grow his business through acquisition has now intensified, and he is seeking deals not only in the fluid seals space but outside the company’s wheelhouse. “IEQ and some other opportunities that we’re pursuing right now represent an intentional diversification of our historical fluid seal focus,” he said.  

“It was opportunistic,” Gallagher added about the IEQ deal. “Historically our M&A activity has been focused on pure competitors in our distribution market space.”

Today, Gallagher Fluid Seals is a shadow of its former self. The company now has three divisions fluid seals, fluid handling, and vacuum and semiconductor and is heavily data driven. This live data gives personnel updated views of customer interactions and allows them to analyze “historical sales patterns to drive optimal procurement patterns,” which in turn helps company leaders “ensure that investments made in areas of the business are paying off,” Chris Gallagher noted. The business also owns numerous websites  some of which it inherited with IEQ   and Gallagher said he wants the company’s growth to be “more ambitious,” with a focus on digital marketing and e-commerce across all of its divisions.

Chris’ dad, Brian, and his brother Kerry are currently key account managers at the company, and his youngest brother Brett works as a junior marketing analyst. As the organizational structure changes, Chris Gallagher may eventually “step out of the way of things and empower them to take leadership roles,” he said of his two younger brothers. He will soon be transitioning into a role as CEO of Gallagher Industrial Products, the newly formed parent holding company, which could unveil an opportunity for his brother Kerry to lead the fluid seals division at some point, he noted. 

To date, despite huge growth in the last decade and likely countless changes ahead, Gallagher Fluid Seals remains true to its core: to be an upstanding business that covets its loyal customers, something his family has always instilled. 

“I learned that your reputation as a company, as a brand, takes years and decades to build, and it can be lost in a heartbeat if you cut corners, if you are not ethical and honorable,” Chris Gallagher said. “And I’m very cognizant of that. Anytime that we hit a fork in the road… we’re always going to do the right thing for our customer.” 

Churchill Technologies acquired by Huizenga Group

Churchill Technologies acquired by Huizenga Group

Churchill Technologies acquired by
Huizenga Group
GRAND RAPIDS, Mich. – April 21, 2022– NuVescor Group is pleased to announce the successful sale of Churchill Technologies to the Huizenga Group.

Churchill Technologies, based in Grand Haven, is an automation company which designs and builds special purpose assembly and test equipment. The machines that Churchill builds utilize many automation technologies, including robotics, advanced motion systems, machine vision systems, component and assembly conveyance applications.

The Huizenga Group, based in Grand Rapids, is a privately held firm providing management services to a diverse group of companies involved in tool & die, pharmaceutical packaging and serialization, machined metal parts, electrical contracting, highly engineered automotive component manufacturing and automation industries.

Steve Klotz, President of Huizenga Group, commented, “What Tim and the entire team at Churchill have accomplished is very impressive. We’re excited to come alongside them and support the team.”

Churchill Technologies owner and president Tim Walker said the Huizenga Group’s knowledge of industrial automation and proven track record make them a “perfect fit” to buy his Company.

“I believe we have established a solid customer base by providing well-engineered solutions to complex manufacturing problems,” said Walker, who founded the Company in 2003. “The time is right to offer these solutions on a larger scale, and we needed support to make this happen.

“We expect to see our company grow in current and new markets as we embark upon this new opportunity,” Walker added.

Churchill Technologies was assisted in the transaction by NuVescor Group, a West Michigan mergers and acquisitions service company.

“Getting to know our clients is key to understanding what type of buyer to look for, and this was proven out again as we celebrate the next steps Churchill is taking with the Huizenga Group,” said Travis Ernst, NuVescor’s Operations Manager. “Mr. Walker is able to leverage assets and resources he didn’t have available to him before, and it will be exciting to see the impact on the company, the employees and the customers.”

About Churchill Technologies

Churchill Technologies is a manufacturing automation company with specific expertise in piston, ring, wrist pin and connecting rod assembly. The Company enables manufacturers to compete in a global environment through development of state-of-the-art automated high-volume sub-assemblies, cutting-edge automated gauging systems, and integration of leading industrial robots. For more information, please visit churchill-tech.com.

About the Huizenga Group

Founded in 1985, the Huizenga Group provides management services to a portfolio of companies that provide products and services for the world’s leading automation, security, automotive, pharmaceutical, medical device, consumer goods and office furniture manufacturers. For more information, please visit huizengagroup.com.

About NuVescor Group

NuVescor Group, based in West Michigan, is a distinguished mergers and acquisitions service company that partners with other professional service providers to present the full array of disciplines needed to have successful and timely business transactions. NuVescor utilizes a proprietary proven process that greatly increases the success rates for business transactions as well as the customer experience. For more information, please visit nuvescor.com.

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IEQ Industries acquired by Gallagher Fluid Seals, Inc.

IEQ Industries acquired by Gallagher Fluid Seals, Inc.

IEQ Industries acquired by
Gallagher Fluid Seals, Inc.

GRAND RAPIDS, Mich. – April 25, 2022– NuVescor Group is pleased to announce the successful sale of IEQ Industries to Gallagher Fluid Seals, Inc.

IEQ Industries is a distributor of new, used and remanufactured pumps, pump parts and pump packages for various commercial and industrial applications, including oil and gas production, around the world. Though the owner is in Grand Rapids, all staff work remotely from home offices, so there are no Company facilities.

Gallagher Fluid Seals is a global distributor and manufacturer of fluid sealing products that has grown substantially over the past seven years both organically and through acquisition. The Company has its headquarters in King of Prussia, Pa., and a gasket fabrication and sales office in East Longmeadow, Ma.

Chief Executive Officer Chris Gallagher said IEQ Industries is a growing company in strategic end markets for Gallagher Fluid Seals, and the purchase provides for significant diversification of the company’s product mix. He also cited IEQ Industries’ focus on high pressure pumps and components, its ownership of multiple Internet domain names and its CXI platform, an enterprise asset management system it developed for pump end users.

Gallagher said he plans to continue IEQ Industries’ growth. “The slate of digital assets that came along with IEQ are an opportunity I will be spending a lot of time with the team over the coming weeks and months developing strategies to further expand,” he said.

“While our expressed goal is to diversify our product mix, having crossover in market segments allows both IEQ and Gallagher Fluid Seals to benefit from historical customer relationships. From an operating perspective, it is fantastic that the entire IEQ team will be able to stay in place and help us continue to invest and grow this business.”

IEQ Industries Owner Joseph Bichler said he’s been working for the last six years to position the Company to run without him so he could retire and ensure the business’s continued success.

“We worked to put systematic and documented business practices in place while continuing to focus on growth,” he said. “My team took leadership and officer roles.  The timing was right for me personally, too. I was ready to retire and enjoy more time with my family and pursue new interests.”

Under the new owners, “the sky is the limit” for IEQ Industries, he said.

“It was clear that this was a strategic buyer who saw the synergies and pathways for creative growth,” Bichler said. “Chris Gallagher and the IEQ team are already strategizing. It will be exciting to see.”

IEQ Industries was assisted in the transaction by Nuvescor Group, a West Michigan mergers and acquisitions service company.

“It is always exciting when a fit is confirmed between the buyer and seller, and this was the case with IEQ and Gallagher Fluid Seals,” said Travis Ernst, Nuvescor’s Operations Manager. “Part of our process is understanding the ideal buyer for our client, and in this case, we were able to find the right buyer who can take what Mr. Bichler has built in IEQ and bring it to the next level.”

About IEQ Industries

IEQ Industries, established in 1988, produces no pumps or parts itself but maintains well-established relationships with suppliers to purchase OEM and aftermarket pumps, complete customer specific turn-key pump packages and parts for resale to customers on all seven continents.  In addition to the energy industry, its products are used in applications including water treatment, reverse osmosis/desalinization, agriculture, waste management and car washes.

About Gallagher Fluid Seals, Inc.

Founded in 1956, Gallagher Fluid Seals represents the strongest seal manufacturers in the world, in addition to operating its own gasket fabrication facility. It serves both original equipment manufacturers and maintenance, repair and operations customers through the development of technical solutions that solve sealing challenges.

About NuVescor Group

NuVescor Group, based in West Michigan, is a distinguished mergers and acquisitions service company that partners with other professional service providers to present the full array of disciplines needed to have successful and timely business transactions. NuVescor utilizes a proprietary proven process that greatly increases the success rates for business transactions as well as the customer experience. For more information, please visit nuvescor.com.

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