Transom Capital Group-backed SemiTorr has acquired McKenna Engineering & Equipment Co. Inc., which serves industrial and food & beverage customers throughout California and Nevada. This is SemiTorr’s third add-on acquisition since being acquired by Transom Capital Group, a operations-focused middle market private equity firm, in December 2018. McKenna is a distributor, manufacturers’ sales representative, fabricator, and installer of process equipment used for handling air, gas, liquids, and dry bulk solids.
James Oh, Partner at Transom, said, “We are excited about the continued organic growth of SemiTorr as well as executing on our inorganic strategy. Partnering McKenna with SemiTorr provides attractive opportunities for both suppliers and customers in the market. We look forward to continuing the growth of the McKenna business via its new relationship with SemiTorr.”
Kevin Waddell, chief executive officer of SemiTorr, remarked, “McKenna Engineering will be a transformative acquisition as SemiTorr continues to grow and diversify its business. McKenna’s three companies will serve as the west coast “anchor” for SemiTorr’s industrial business in its abilities to serve the California marketplace. Additionally, the union of SemiTorr’s and McKenna’s customers across high purity, sanitary and industrial segments, combined with the union of SemiTorr’s and McKenna’s product lines presents a myriad of exciting cross-selling and relationship expanding opportunities. Lastly, McKenna brings valuable capabilities in engineering, design, fabrication, installation, service and repair that SemiTorr will be looking to expand into Northern California, the West and ultimately into other geographies as those opportunities present themselves.”
Ed McKenna, McKenna’s CEO, said, “To remain successful and continue growing into the future, McKenna Companies needed to align itself with a strategic partner willing to make the investments required in order to remain competitive in a changing distribution market. SemiTorr is this partner. This is exactly the type of synergistic buyer McKenna Companies needed. SemiTorr is a customer-focused sales and distribution company with a strategy to further develop its industrial market in California and Western Nevada. I am excited about this partnership going forward.”
SemiTorr was represented by Barnes & Thornburg LLP as M&A counsel on this transaction, and McKenna was represented by Musick, Peeler & Garrett. Bank of America provided the debt financing for the transaction.