Bettcher Industries announces significant investment from Morgenthaler Private Equity
Bettcher Industries, Inc., a leading worldwide manufacturer of food processing, foodservice equipment and medical devices, announced today that it has received a significant equity investment from Morgenthaler Private Equity (“MPE Partners” or “MPE”) as part of a recapitalization transaction. MPE Partners will be investing alongside Bettcher’s employees as the Company’s existing ESOP will retain a significant minority ownership stake. The investment provides Bettcher with access to additional capital and resources as it continues to execute its growth plans, including actively seeking strategic add-on acquisitions.
The entire management team and structure of Bettcher Industries remains unchanged, with the business continuing to be led by Don Esch, President and CEO.
MPE Partners, based in Cleveland, Ohio and Boston, Mass., is a private equity firm that partners with industry-leading management teams, providing them with enhanced financial resources and support as they build their companies and create long-term shareholder value. The firm has a long history of partnering with high-value manufacturing companies, making it and Bettcher Industries a natural business fit.
Commenting on the announcement, Esch states, “These are exciting times for Bettcher. This strategic move positions us to accelerate our growth and further expand our market activities, even as we continue to operate all of our existing businesses exactly as before.”
According to Esch, the day-to-day operations of Bettcher Industries and its subsidiary companies, including Gainco, Inc. (Gainesville, Ga.) and Exsurco Medical, Inc. (Wakeman, Ohio), are unaffected by the ownership change. “Our customers will see no changes in how we serve them, although we anticipate being able to offer new products and services in the coming months and years,” Esch notes.
Long regarded as the world’s market leader in powered hand-held trimmers for the meat and poultry processing industry, in recent years Bettcher Industries has expanded into other markets – most notably the formation of Exsurco Medical, Inc., an ISO 13485:2003 certified and FDA registered company which has successfully commercialized innovative devices used for excision and debridement in tissue banking and surgical procedures.
“Bettcher is a global leader in its markets and has built its business through a rich history of product innovation and superior customer service,” said Peter Taft, an MPE Partner. MPE Partner Karen Tuleta added, “We have been incredibly impressed by the strength and depth of the Bettcher leadership team. We look forward to partnering with Don Esch and the rest of the team as they execute the Company’s multi-faceted growth plan, including actively seeking add-on acquisitions.”
Underscoring these synergies, Esch points out that the hallmarks of Bettcher’s market reputation, including best-in-class manufacturing and devoted customer service, align perfectly with MPE Partners.
“Our success as an enterprise is a direct result of our longstanding commitment to support our customers by providing leading-edge products and solutions. That commitment doesn’t change,” Esch emphasizes. “Our mission continues to be to develop, manufacture and market high quality, technically superior products that are unique and inventive in nature and that address unmet needs, coupled with a total commitment to quality service. This partnership allows us to do more of that than ever before.”
For more information, visit www.bettcher.com.