PPC Secures Financing for Connecticut Electric Acquisition

Promontory Point Capital is excited to announce another one of our firm's recent client successes.

Connecticut Electric is a leading manufacturer of low-voltage residential replacement circuit breakers, electrical power supply products, and other specialty electric and power products. The business was established in 1906 and primarily sells its products through nationwide distributors and hardware retailers such as Ace Hardware, Lowe’s, Home Depot, and Grainger along with leading e-commerce retailers such as Amazon and Zoro.

In an effort to diversify the Company’s product portfolio and customer base, Connecticut Electric commenced strategic acquisition discussions with ATI Electrical Supply and its affiliate Power Assemblies (“ATI/PA”). ATI and Power Assemblies distribute and manufacture a complete line of portable power products, commercial and industrial switchgears, and other products through ABB, Hubbell, Leviton, Schneider Electric, and other commercial enterprises.

Given its significant corporate finance experience, Promontory Point Capital was engaged by Connecticut Electric to arrange financing to fund the acquisition of ATI/Power Assemblies. PPC’s outreach efforts encompassed a mix of bank and non-bank lenders resulting in securing more than 10 financing proposals for consideration. A financing package arranged by PPC encompassing a mix of senior debt, mezzanine financing, and private equity capital supported Connecticut Electric’s acquisition initiative, while, providing the Company with additional working capital for the newly combined business.

Promontory Point Capital is a Milwaukee-based investment banking firm focused on the needs of Midwestern privately-held businesses. Since being formed in 2004, our firm has led over 175 client engagements including the evaluation of business sale and recapitalization options, the arrangement of debt and equity financing, and the planning and execution of growth strategies involving acquisitions, mergers, and joint ventures. Many inquiries to Promontory Point Capital include business objectives encompassing:

Ownership Planning, including Transition & Liquidity Goals: PPC is frequently introduced to business owners and/or senior management teams when shareholders are interested in learning about their options involving a potential sale of all or a portion of a business. We have arranged numerous transactions involving strategic partners, private equity firms, ESOPs, management buyouts, and other types of shareholder “recaps” including both minority and majority recapitalizations.

Financing, Refinancing, & Debt Restructuring: PPC is oftentimes referred into situations where a business encounters a funding need that is beyond the comfort zone of a company's existing senior bank lender. PPC has arranged numerous transactions for companies involving senior bank debt, non-bank debt, subordinated debt, sale-leaseback financing, and other forms of institutional funding to support growth, acquisitions, shareholder redemptions, management buyouts, and other corporate initiatives.

Strategic Growth/M&A: Companies that have an interest in growing and expanding via acquisition or strategic joint venture are regularly referred to PPC given our firm's extensive corporate development experience.

We welcome your confidential inquiry and encourage you to visit our firm's website at www.promontorypointcapital.com for more information on our organization's capabilities and numerous other client successes.