Michigan-based companies Huron Capital Partners (“Huron Capital”) and Bandit Industries announced July 23 that they have entered into a letter of intent to recapitalize Bandit as a private company, and to provide resources and capital to reinforce Bandit’s continued record growth while accelerating the company’s global growth strategy.
Jerry Morey will continue to run the business as president & CEO. Upon closing, a CEO succession plan will be initiated to recruit and train a top caliber executive to lead the business into its next phase of growth. Mike Morey Sr. and Dianne Morey will remain with the company in consulting roles. Bandit will be co-owned by Jerry Morey, Mike Morey, Dianne Morey and Huron Capital. The investment is expected to close in early fall 2014.
“When we announced last year that we were looking at companies for a potential sale or merger of Bandit, we were adamant that it had to be the right fit for our company, our community, our dealer network, and most importantly, our employees,” said Jerry Morey. “We were only interested in partnering with an organization that would respect and be committed to our company culture, from our employees in Michigan to our dealers operating all around the world. Huron Capital has a long history of growing companies while maintaining their independent operations and unique company culture, and that was a significant factor in our decision to partner with the firm. It also feels good to be working with another Michigan-based company that understands our challenges and shares our hometown pride. We are very much looking forward to the future for both Bandit and our mid-Michigan community.”
Bandit Industries will remain at its current 280,000-square-foot world headquarters between Remus and Mount Pleasant, Mich. All existing operations, including the workforce, management teams, distribution and dealer network will remain in place. Bandit will also continue to have a large role in supporting and participating in local community events and sponsorships.
“Bandit’s history as an independent, family-run business is an important criteria for us,” said Mike Beauregard, senior partner at Huron Capital. “Our investment in the business will preserve the legacy and culture of this business while continuing to expand globally under the Bandit brand. The business will remain a private, Michigan-based company funded with Michigan-based capital and employing Michigan-based people.”
Founded in 1983 and based just outside Mount Pleasant, Mich., Bandit Industries is a leader in the design, manufacture, distribution and service of hand-fed and whole tree wood chippers, stump grinders, forestry mowers, Beast recycling machines, and other specialty wood and waste processing equipment. Bandit serves professionals in the logging, forestry, tree care, land-clearing, recycling, and renewable energy markets through a global dealer network of more than 160 locations. Learn more about Bandit Industries at www.banditchippers.com.
Huron Capital is an operationally focused private equity firm with a long history of growing lower middle-market companies through its customized buy-and-build investment model. Huron prefers unique situations where it can help companies reach their full potential by combining its operational approach, substantial capital base and transaction experience with proven operating executives. Founded in 1999, Huron has raised more than $1.1 billion in capital through four committed private equity funds, invested in more than 80 companies, and its portfolio companies have employed more than 7,500 people throughout North America. With offices in Detroit and Toronto, Huron sponsors recapitalizations, family succession transactions, market-entry strategies, corporate carve-outs and management buyouts of companies having revenues up to $200 million. Huron’s sector focus includes Specialty Manufacturing, Business Services, Consumer Goods & Services, and Healthcare. For more information, visit www.huroncapital.com.