Sentinel seals $258m carve-out

The firm’s investment in Power Products marks its seventh carve-out transaction.

Sentinel Capital Partners has acquired electric tools manufacturer and distributor Power Products for $258 million, according to a statement.

Wisconsin-based Power Products is the electrical division of NYSE-listed Actuant Corporation. The company’s products are used by construction, marine and utility companies. Power Products also owns brands such as Turner Electric and electrician tool supplier Gardner Bender.

“Our new partnership will enable us to sharpen the focus of our business, dedicate additional resources to supporting our best performing brands, and accelerate growth,” said Power Products’ chief executive officer David Scheer, adding Power Products is in a strong position to benefit from global economic recovery that is already underway.

Sentinel declined to comment.

Power Products marks Sentinel’s seventh carve-out acquisition. Others include Southern California Pizza Hut stores, which the firm purchased from Yum! Brands and exited last year, and underground mine roof support company Fasloc, which it acquired from DuPont.

Sentinel makes investments of up to $75 million in companies with earnings before interest, tax, appreciation, demortisation and amortization of up to $35 million, according to its website. The firm also invests in special situations, including balance sheet restructurings and operational turnarounds.

The firm closed its most recent fund, Fund V on its $1.3 billion hard-cap in August. Fund V launched in March and marked Sentinel’s first fund with a target greater than $1 billion. The fund received commitments from institutional investors in the US, Europe, Japan, China and Australia including El Paso Firemen & Policemen’s Pension Fund and the District of Columbia Retirement Board, according to PEI’s Research and Analytics division.

New York-based Sentinel is led by co-founders David Lobel and John McCormack.