H.I.G. Capital News
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H.I.G. Capital Completes Acquisition of BECO Holding Company
NEW YORK – November 4, 2021 – H.I.G. Capital (“H.I.G.”), a leading global alternative investment firm with over $45 billion of equity capital under management, announced today that one of its affiliates has completed the acquisition of BECO Holding Company, Inc. (“BHC” or the “Company”), a leading distributor and service provider of fire suppression, life safety and kitchen system equipment.
As part of the transaction, BHC’s leadership team will remain in place and will have a significant ownership stake in the recapitalized business. Terms of the transaction were not disclosed.
Founded in 1941 and headquartered in Charlotte, NC, BHC offers a wide range of value-added distribution and critical fire and life safety management services enabled by proprietary technology tools. The Company operates via an extensive network of 16 distribution centers nationwide, through which it offers more than 200,000 products across every major fire and life safety brand. BHC has an industry-leading reputation as an essential partner to customers - helping them achieve proper fire life safety compliance through critical support and products - and OEMs.
Eric Smith, CEO of BHC, commented, “We are delighted to enter into this partnership with H.I.G. Capital. BHC has always prided itself on offering best-in-class products and services to its customers and we look forward to continuing that tradition. Moreover, we have a number of organic and M&A-driven initiatives that we will accelerate with H.I.G.’s partnership that will allow us to be an even better partner to our key customers and OEM stakeholders.”
“We are thrilled to partner with Eric Smith and his team. BHC has a proven track record of providing the highest levels of quality products and services to its customers and OEM suppliers,” added Rahul Vinnakota, Managing Director at H.I.G. “We are truly excited by the number of opportunities we have in front of us to catalyze growth and make BHC a more valued partner within its current and adjacent supply chains.”
Piper Sandler & Co served as financial advisor to H.I.G. Ropes & Gray LLP provided legal counsel to H.I.G. Baird served as financial advisor to BHC. Goodwin Procter provided legal counsel to BHC. Financing for the transaction was provided by Golub Capital.
About BECO Holding Company, Inc.
Founded in 1941 as Brooks Corporation, BECO Holding Company (BHC) is the leading provider of critical fire life safety solutions. Over its 80-year history, BHC has grown to become one of the leading business-to-business suppliers in the fire life safety industry, combining quality products and great service.
BHC operates an integrated and cohesive platform through the following leading brands, including Brooks Equipment (www.brooksequipment.com), Logistics Supply (www.logisticssupply.com), Heiser Logistics (www.heiserusa.com), L&J Fire Equipment (www.landjfire.com), Commercial Fire (www.commercialfire.com), and Water Specialties (www.backflowpreventer.com).
About H.I.G. Capital
H.I.G. is a leading global alternative assets investment firm with over $45 billion of equity capital under management.* Based in Miami, and with offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, and Atlanta in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Milan, Paris, Bogotá, Rio de Janeiro and São Paulo, H.I.G. specializes in providing both debt and equity capital to small and mid-sized companies, utilizing a flexible and operationally focused/ value-added approach:
- H.I.G.’s equity funds invest in management buyouts, recapitalizations and corporate carve-outs of both profitable as well as underperforming manufacturing and service businesses.
- H.I.G.’s debt funds invest in senior, unitranche and junior debt financing to companies across the size spectrum, both on a primary (direct origination) basis, as well as in the secondary markets. H.I.G. is also a leading CLO manager, through its WhiteHorse family of vehicles, and manages a publicly traded BDC, WhiteHorse Finance.
- H.I.G.’s real estate funds invest in value-added properties, which can benefit from improved asset management practices.
- H.I.G. Infrastructure focuses on making value-add and core plus investments in the infrastructure sector.
Since its founding in 1993, H.I.G. has invested in and managed more than 300 companies worldwide. The firm's current portfolio includes more than 100 companies with combined sales in excess of $30 billion. For more information, please refer to the H.I.G. website at www.higcapital.com.
* Based on total capital commitments managed by H.I.G. Capital and affiliates.