American Capital Strategies has confirmed that a company it controls has completed the buyout of Automatic Bar Controls, the dominant manufacturer and supplier of hand-held beverage dispensers for the US food service industry.
In a one-stop shop financing transaction, American Capital invested $35.5 million (€35.3m).
"American Capital concluded the first half of 2002 with new investments totalling approximately $250 million, consistent with our projection for the entire year and accomplished in a rapidly changing transaction environment," said Chairman, President and CEO Malon Wilkus. "These investments include six buyouts and five mezzanine transactions with leading private equity firms. Automatic Bar Controls, American Capital's first investment of the third quarter, continues our excellent record of sponsoring control buyouts of market leading niche manufacturers."
"This is a great company that dominates the US and UK flexible hose dispenser market because of superior products and high commitment to customer service," said American Capital Principal and Managing Director Roland Cline. "Management's focus on quality and the Company's unique manufacturing processes that result in virtually defect-free products are formidable barriers to entry for potential competitors. These competitive advantages, coupled with the company's deep, long-standing customer relationships and emerging new product pipeline, make this an exciting investment opportunity."
ABC's signature product is the Wunder-Bar hand-held beverage-dispensing gun. The company has also developed and sells a wide range of food dispensing systems for condiments, heated cheese, oils, salad dressings, refrigerated and non-refrigerated toppings and pizza sauces. The Vacaville, California-based company, founded in 1971, employs approximately 150 people at its state of the art facility.