MiddleGround Capital (“MiddleGround”), a private equity firm that makes control investments in North American middle market B2B industrial and specialty distribution companies, today announced the successful completion of its acquisition of Banner Industries, a leading processor and distributor of metal bar products for a diverse set of industrial and medical end markets. The transaction is the fourth in MiddleGround’s inaugural private equity fund.
Banner provides supply chain solutions and a variety of value-added metal processing services, including centerless grinding, chamfering, turning, precision saw cutting, straightening, material ID and full traceability, waterjet cutting, ultrasonic testing, and CNC machining to its, contract manufacturer, and precision machining customers. Product applications range across diesel fuel systems, electric motors, agriculture, and aerospace to orthopedic, spinal, and dental implants.
“Banner is a proven leader serving a critical role within the metals supply chain and has an impressive history of growth,” said John Stewart, co-founder of MiddleGround. “We are excited to partner with the Banner team to further expand the business, both organically and through strategic add-on acquisitions.”
One of few scaled market players, Banner is a one-stop shop for all customer metal, wire, flat, and shape needs, driving value through its strong sourcing relationships across a diverse mix of material types and leading in-house processing capabilities.
Banner President and CEO Mark Redding commented, “We were looking for a partner who had the right operational experience and shared the same strategic vision. We have found that in the MiddleGround team and look forward to working together as we continue to grow and serve our customers.”
About Banner Industries
Established in 1961, Banner Industries is a value-added metals processor and distributor serving OEMs, contract manufacturers, and precision machine customers through two divisions: Banner Service Corporation (“BSC”) and Banner Medical Innovations (“BMI”). BSC serves a diverse set of industrial customers and steel service centers with applications in irrigation, diesel fuel systems, electric motors, agriculture, aerospace, and auto, among others. BMI processes medical-grade metals for device manufacturers in orthopedic, spine, dental, and other specialty medical fields. Banner is headquartered in Carol Stream, IL with additional facilities in OH, NC, IN, TX. For further information, please visit: www.bargrind.com and www.banner-medical.com
About MiddleGround Capital
MiddleGround Capital is a private equity firm that makes control equity investments in lower middle market North American companies in the B2B industrial and specialty distribution sectors. It is currently investing out of its first fund. MiddleGround works with its portfolio companies to create value through a hands-on operational approach and partners with its management teams to support long-term growth strategies. Founded by John Stewart, Lauren Mulholland and Scot Duncan, the firm is based in Lexington, Kentucky with an office in New York City. For further information, please visit: www.middlegroundcapital.com
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