Capstone Partners advised The Partner Companies (TPC), a U.S.-based advanced manufacturing company, on its $100+ million equity investment from Tensile Capital Management (Tensile), a San Franciso-based investment firm.
TPC creates mission-critical solutions for innovators in the aerospace and defense, technology, energy, and medical industries. Founded in 2010, TPC has grown into an international leader with 11 brands in the U.S., U.K., Mexico and Asia. TPC specializes in photochemical etching, ceramic metallization, infrared optics and electroforming along with core manufacturing capabilities such as injection molding, machining, metal fabrication and finishing. For more information, please visit TPC here.
Capstone has proved to be an invaluable partner throughout this strategic equity investment. Their team demonstrated a sophisticated understanding of our growth vision and capital needs. They helped expertly position The Partner Companies to attract the right long-term partner in Tensile, whose evergreen fund structure aligns with our objectives. Capstone’s professionalism, sector expertise and ability to articulate our value proposition were instrumental in achieving an outcome that provides us with the flexible capital we need for our next phase of growth.
In total, the financing will help accelerate growth across TPC’s 11 brands. The investment furthers a $300+ million capital raise alongside TPC’s recent $200+ million syndicated credit facility led by Huntington Bank, the parent company of Capstone Partners. The equity investment will accelerate TPC’s next phase of growth, enabling the company to expand its specialized manufacturing capabilities, pursue value-creating acquisitions and advance its equipment and process technology.
Chris Hastings, Managing Director at Capstone Partners commented: “TPC has built a diversified advanced manufacturing company that produces highly engineered products for large and growing end markets. This transaction reflects increasing investor interest in manufacturing in the U.S., especially for companies serving the end markets of aerospace and defense, technology, medical and energy. The company has an impressive track record of serving its customers and identifying, acquiring and integrating complementary specialized manufacturing businesses. We are proud to have advised such a great company through an exciting capital raising process and look forward to following TPC’s continued success with its new partner Tensile.”
Tensile Capital Management is an investment firm capitalizing on unique opportunities in public and private markets. Utilizing its extensive research and due diligence process, the firm makes concentrated, high conviction investments in a select number of public and private companies. Tensile’s objective is to generate superior, risk-adjusted, after-tax returns through long-term investments, while maintaining a margin of safety against permanent capital impairment. For more information, please visit Tensile here.
The investment banking professionals on Capstone Partners’ dedicated Equity Capital Markets Team work with companies in structuring, investor outreach, and shareholder engagement to ensure optimal outcomes in their capital raise. Our firm has developed a full suite of corporate finance solutions, including M&A advisory, debt advisory, financial advisory, and equity capital advisory to help privately owned businesses and private equity firms address any need, ranging from growth and financial or operational advisement to an ultimate exit transaction. To learn more about this transaction, or about the benefits of starting a relationship with our Equity Capital Markets Banking Team, contact us here.
