Blue Sea Capital has made a growth capital investment in Resa Power. The private equity firm partnered with the target's management team on the deal, which gives an exit for Audax Private Equity.

Houston-based Resa provides electrical system products, such as switches and breakers. for the industrial, government and utility sectors. The target was founded in 2003.

"This partnership represents a pivotal inflection point in Resa's corporate journey and growth trajectory," says Resa CEO Brian McSharry. "The team at Blue Sea Capital shares our strategic vision of geographic expansion organically and via acquisition."

Blue Sea is a middle market private equity firm headquartered in West Palm Beach, Florida. The firm invests up to $60 million in equity in deals that can be worth as high as $200 million. Blue Sea concentrates on the industrial, aerospace and defense and healthcare sectors, looking for targets that generate an average $30 million in Ebitda. Some of the firm's investments include Deca Dental and electrical parts maker NSi industries.

Headquartered in Boston, Audax backs lower middle-market companies with up to $35 million in Ebitda. Audax has been rather busy recently. In 2017, the firm acquired Wellspring Consumer Healthcare, a distributor of branded hygiene and cosmetic product.

Goulston & Storrs LLP served as legal adviser to Resa and Audax. Lincoln International served as financial adviser to Resa. Jones Day LLP served as legal adviser to Blue Sea Capital. Barings and MetLife provided financing for the transaction. Financial terms were not disclosed.

Adobe Stock
Demitri Diakantonis

Demitri Diakantonis

Demitri Diakantonis serves as Assistant Managing Editor. He joined Mergers & Acquisitions in 2015 as a Senior Reporter.