Signaling an increase in middle-market dealmaking in the third quarter and continuing the aggressive dealmaking that won it Mergers & Acquisitions’ M&A Mid-Market Award for Private Equity Firm of the Year for 2012, the Riverside Co., based in New York and Cleveland, has closed four transactions in July:
Blue Microphones — The firm’s most recent acquisition was of popular microphone maker Baltic Latvian Universal Electronics LLC, also known as Blue Microphones. The firm took over the Westlake Village, Calif.-based target from Transom Capital Group.
Simcro Ltd. — Riverside sourced its first deal in New Zealand by purchasing Simcro, a manufacturer of animal health-delivery systems used for production systems. The transaction also underscores the attention PE firms are paying toward the animal care sector, which has seen an uptick in M&A in recent months.
ProSites Inc. — Riverside picked up the Temecula, Calif.-based online marketing and hosting service for portfolio company CPASiteSolutions, a provider of websites for the accounting industry.
iMech — Riverside was also one of the many buyers that took part in the streak of deals within the energy services sector, when it bought iMech, a manufacturer of heavy-duty bearings for oil and gas drilling, and added it to current portfolio platform HD-Advanced Manufacturing.
The flurry of activity reflects what most dealmakers believe will be a strong third quarter after the slow first half. (For more coverage on the second quarter, see “Q2 2013: Deal Flow Still Slow, but Hope Springs Eternal.”)
“There has been a significant pickup in dealflow already, not unlike what we saw in late 2012,” Riverside partner Robert Landis tells Mergers & Acquisitions. “But I would be surprised if the rest of 2013 is as robust as the second half of 2012.”