News & Insights

RAM Electronics acquired by Local Buyers

Friday, April 22, 2016
 In the world of deal making, closing a smaller deal can take some creative matchmaking. The time and energy required to get a deal to closing is just as much and sometimes more than in a larger deal. That was the case with Ram Electronics, and according to Randy Rua, “We had to pull in partners from multiple sources to get the deal done. A larger firm may have let this deal die a quiet death, but we knew we had the right buyers for the business and we just needed to put the right pieces in place. We don’t typically see the MEDC (Michigan Economic Development Center) involved in our transactions, but at the end of the day they were key in making the deal possible.” Michigan, and particularly West Michigan is very pro-transaction with excellent support from both professional advisors and government agencies.

This transaction offers a chance for an in-depth story about the current seller’s market for businesses. It also highlights how the right team of advisors using some non-standard sources can make possible even a potentially complicated deal.

Lynne Bosgraaf and Brad Davis had a goal of purchasing a business. They had both come from a successful business in a similar industry as Ram Electronics and knew the next step was owning their own business. They had some specific goals they were trying to meet, and were looking forward to owning a business that they could grow to the next level.

Brad and Lynne previously transformed a small contract manufacturer into a world class specialty lighting designer and manufacturer. They brought with them extensive experience in markets such as automotive and contract office furniture with a variety of disciplines including but not limited to strategic vision, operations, marketing, technical sales, program management and engineering.

Because of some unusual issues in financing the project, a key element in making the deal happen was bringing in a team experienced in finding financing solutions. Financing for the acquisition was provided by Mercantile Bank in conjunction with the Michigan Economic Development Corporation (MEDC). Mercantile was able to quickly offer solutions to keep the transaction moving forward towards closing.

With the help of the MEDC’s collateral support program, the Michigan Strategic Fund provided collateral that was able to be leveraged within the financing structure. The MEDC seeks out opportunities to provide assistance that will enhance economic activity and job growth in the state and Ram Electronics was a great fit for the program. Without the assistance of the MEDC, the structure would not have been possible for Lynne and Brad to close the deal.

Ram Electronics began over 45 years ago and offers both contract manufacturing of electronic assemblies and electronic design services. They consider themselves a “one stop source” and offer circuit board design, harnessing design, printed circuit board (PCB) layout, software integration design, prototype fabrication, environmental stress screening, automated assembly, and complete electronic manufacturing services (EMS). Ram prides itself in its quality, being ISO 9001:2008 certified, and customer service.

Ram Electronics currently has 16 employees and revenues between $3MM-$6MM. The company is located in Fruitport, MI, which is about 30 miles northwest of Grand Rapids and close to Muskegon.

Rua Associates, LLC proudly served as the exclusive mergers and acquisitions representative for the local buyers. The Rua team was able to keep the deal moving forward through challenging moments and Randy Rua was able to bring the transaction to the finish line after multiple months of negotiation.

At the end of the day, a Michigan based company was sold to a local buyer with the help of a Michigan based M&A firm and a Michigan bank backed up by MI state funding. It is a reflection of the current M&A market as a seller’s market. With the right team of advisers and financial organizations, deals continue to be successful, resulting in a positive impact to the buyer, seller, employees, customers and community. That is the definition of a successful transaction at Rua Associates.

Pro-Temp Inc. acquired by Local Buyer

Tuesday, March 08, 2016
 

Rua Associates LLC, West Michigan’s premier mergers and acquisitions firm, is pleased to announce the successful sale of Pro-Temp Inc., a West Michigan-based HVACR service company to Jeff and Karen Koger of Koger Enterprises, Inc. The Company will continue to operate under the Pro-Temp name.


Pro-Temp, Inc., based in Holland, Michigan, focuses on commercial refrigeration, heating and air conditioning. The Company also offers sales and service on new and used equipment. The Company was founded by Cal VanHemert and John Moser in 1985 and has been serving a large client base faithfully for 30 + years. Cal and John will support the new owner in ensuring a smooth transition.

The Company continues to differentiate itself by providing local personal service and knowledgeable, experienced technicians.

“We were pleased with the interest in our business from many parties. Ultimately, we chose Jeff based on his strong skill sets in management and developing people. Under Jeff’s leadership, we believe the company will grow and continue to provide the level of service our clients are used to. In addition, it was a very important factor that a new owner maintained our existing local presence and that fit within Jeff’s long term vision” said Cal VanHemert and John Moser.

“After 32 years in manufacturing management, my wife and I decided to research the possibility of business ownership. We were very fortunate to find such a great opportunity with acquiring Pro-Temp. The name Pro-Temp is well known in the HVACR community as being a top service provider in West Michigan thanks to the leadership of Cal and John. Their solid foundation has made this transition for us very rewarding. Purchasing such a well-positioned company was a perfect fit for our long term goals. We look forward to not only sustaining current business, but growing within our community” said Jeff and Karen Koger

To contact Pro-Temp, visit www.protemp-hvacr.com or call 616-392-3737

Rua Associates, LLC proudly served as the exclusive mergers and acquisitions representative for Pro-Temp Inc. Pankaj Rajadhyaksha served as the lead advisor for Pro-Temp, Inc.

Rua Associates is a distinguished mergers & acquisitions service provider headquartered in West Michigan. Our passion is discerning and exceeding client expectations through successful and timely business transactions. We offer a complete array of professional buy and sell-side business brokerage services, which includes corporate M&A outsourcing, to a growing network of clientele.

Busy Bea's Services of Grand Rapids acquired by Blu Perspective

Sunday, February 28, 2016
 
Rua Associates LLC, West Michigan’s premier mergers and acquisitions firm, is pleased to announce the successful sale of Busy Bea’s Services, a Grand Rapids-based commercial cleaning firm, to Blu Perspective, a Zeeland-based multi-faceted company.

Busy Bea’s Services is an award-winning commercial cleaning firm based in Grand Rapids, Michigan, that has built a wide client base extending across much of the state by focusing on quality communication and service along with environmental sensitivity and corporate social responsibility. The Company provides a full range of commercial janitorial services including floor care, carpet cleaning, window cleaning, upholstery cleaning and disinfection services. It serves medium and large facilities in the medical, professional/corporate, manufacturing, education and construction sectors. They have received several awards including EPIC Awards, Entrepreneurs of Distinction, Corporate Social Responsibility and Ambassador for Grand Rapids Chamber of Commerce.

   
   

Blu Perspective is a privately owned service company that supports manufacturing organizations with a focus on quality through its three divisions: Blu People, Blue Space and Blu Service. Blu People provides light industrial staffing, contract employees, direct placement and contract field quality representation. Blu Space gives manufacturing organizations a flexible manufacturing space option by utilizing strategic partnerships. Blu Service provides third party inspection, containment, rework and other quality support services. The leadership of Blu Perspective was ‘raised up’ in business within the Prince Corporation of Holland, Michigan, and launched their company in 2006. Blu is engaged with clients stretching from Michigan to Alabama. Blu differentiates itself through its flexible workforces and facilities for manufacturing quality assurance and a strong network of field quality support professionals to coordinate on behalf of their clients. 

Blu Perspective is excited to continue to build on the legacy of the previous owner of Busy Bea’s Services.

Rua Associates works on both the buy-side and the sell-side of mergers and acquisitions, and is anticipating continued growth as the economy improves. Rua Associates believes in an in-depth, personal approach to business & market preparation for the parties they represent in a transaction, and maintain that relationship until the transaction closes. They accomplish this by structuring the company as a fully-integrated team, which supports their clients from start to finish.

West Michigan Auto Repair Shops bought by Michigan Buyer

Monday, February 15, 2016
 
Rua Associates LLC, West Michigan’s premier mergers and acquisitions firm, is pleased to announce the successful sale of Auto- Lab, a West Michigan-based auto repair and service company to 13 Marketing Group.

This business consists of two Auto-Lab automobile repair shops in the northeast and southwest reaches of metropolitan Grand Rapids, Michigan. The shops are part of the Auto-Lab franchise group. The Auto-Lab network began in Michigan and is focused in the Midwest, although this year several Auto-Lab shops are set to open in Texas.


The Grand Rapids-area shops were opened in 1996 by the current owners. One is at 279 Baldwin Street in Jenison in a high-traffic location at the corner of Baldwin and Main. The other is at 5333 Plainfield Avenue NE in Grand Rapids, near the East Beltline, another high traffic commercial corridor.

The shops have expanded from basic automotive services to include specialized automotive electronics, including the Smart Start ignition interlock system to combat intoxicated driving. The owners have put an emphasis on integrity, earning good ratings from AAA and the Better Business Bureau.

The Auto-Lab franchise system provides a professional approach to automotive technology. More complex cars call for competent diagnostic and repair services at affordable prices. The system emphasizes a commitment to the customer. Auto-Lab’s corporate staff provides franchisees with assistance in day-to-day operations, including categories such as purchasing of goods and equipment, marketing, financing, legal and accounting consultation.

The former owner, a military veteran with 47 years of car care experience, decided to sell in order to retire and have time to pursue other interests. The owner developed a team of managers and technicians who are well educated, experienced and certified by the State of Michigan and the Automotive Service Excellence (ASE) organization. He is looking forward to consulting opportunities within the industry to continue his passion for training and mentoring franchisees.

13 Marketing Group is excited to continue to build on the legacy of the previous owner of Auto- Lab. According to the buyer, “Having gone through other M&A transactions with different transition professionals assisting, in my experience Rua Associates stands head and shoulders above their peers, doing what is needed to effectively facilitate the deal."

Rua Associates works on both the buy-side and the sell-side of mergers and acquisitions, and is anticipating continued growth as the economy improves. Rua Associates believes in an in-depth, personal approach to business & market preparation for the parties they represent in a transaction, and maintain that relationship until the transaction closes. They accomplish this by structuring the company as a fully-integrated team, which supports their clients from start to finish.

West Michigan Distributor Sold to Local Investors

Tuesday, November 17, 2015
 

Rua Associates LLC, West Michigan’s premier mergers and acquisitions firm, is pleased to announce the successful sale of a West Michigan Distributor of Electro-Mechanical components to local investors.

Established over 30 years ago, the Company has provided high quality products and services to original equipment manufacturers in the recreation, medical and industrial equipment markets. Their value added services includes kitting, harness building, and other interconnect or electro-mechanical assemblies.

The investors bring great experience to the team including over 15 years’ experience in a rapid growth environment and over 30 years providing electric services. Both will be providing strategic oversight for the business. They are excited to continue providing excellent service to the existing customers and building on the strong legacy of the previous owners.

Rua Associates, LLC proudly served as the exclusive mergers and acquisitions representative for the local investors.



Specialty Electronic Component Design Manufacturer

Tuesday, October 06, 2015
 

Rua Associates LLC, West Michigan’s premier mergers and acquisitions firm, is pleased to announce the sale of Westshore Design, a Holland-based electronics design and manufacturing firm, to GVD Industries, a Holland-based family office. Rua Associates was hired by the owner of Westshore Design to represent them during the transaction. 

Westshore Design, LLC is a 12-year-old, Holland, Michigan-based company focused on designing and building electronic products for companies that need low- to medium-volume specialized, added-value circuit boards, components and other products. Westshore specializes in multiple markets including Embedded Controls, LED Lighting, Aftermarket Automotive and Water Treatment. Product designs are based on years of experience in high-volume consumer electronics, knowledge that is applied to produce cost-effective designs for customers needing outside electronics expertise. Westshore is involved in all phases of producing a finished product, from conception, including electrical design, software design, mechanical design and 3D modeling, to prototype development, through to manufacturing and packaging.

GVD Industries is a financially strong, family-owned, private equity firm that wholly owns small to mid-size distribution, manufacturing and services oriented companies headquartered in West Michigan. They acquire, hold and grow companies that possess a unique value proposition or have the potential to become leaders within their respective industries.

Rua Associates works on both the buy-side and the sell-side of mergers and acquisitions, and is anticipating continued growth as the economy improves. Rua Associates believes in an in-depth, personal approach to business & market preparation for the parties they represent in a transaction, and maintain that relationship until the transaction closes. They accomplish this by structuring the company as a fully-integrated team, which supports their clients from start to finish.

Value - Added International Supplier of Used Industrial Equipment

Monday, July 06, 2015
 

Rua Associates LLC, West Michigan’s premier mergers and acquisitions firm, is pleased to announce the successful sale of a used industrial equipment supplier to a Financial Buyer.

This Company is a market leader in two highly profitable manufacturing niches. Its customers are diverse in terms of geography (worldwide) and industry type. Much of the used equipment sold by the Company is refurbished prior to sale. The Company builds upon its long-standing, excellent reputation with a cutting edge international marketing program and a well-established, loyal, and professional employee base.

Rua Associates, LLC proudly served as the exclusive mergers and acquisitions representative for the Company. The specific details of this transaction are confidential per the request of the parties.


Product Line of Lakewood Process Machinery Acquired

Tuesday, April 07, 2015
 

Rua Associates, West Michigan’s premier mergers and acquisitions firm is pleased to announce the successful sale of the product line of Lakewood Process Machinery based in Holland, MI to A&B Packing Equipment, Inc. based in Lawrence, MI.

Lakewood Process Machinery is a leader in a niche agricultural industry, offering a full line of equipment solutions to customers worldwide. A long history of craftsmanship, deep industry knowledge, and an excellent engineering team has enabled the Company to consistently provide its customers with extremely innovative and reliable machines. Multiple locations allow the Company to effectively and efficiently serve the key regions where its customers are most prevalent.

For the past 20 years, A&B Packing Equipment, Inc. has specialized in fresh and process equipment for the small fruit and vegetable industry with a focus on high speed packing equipment for consumer packaging. A&B’s flagship line of equipment is the Evolution series of high speed weigh and fill packing machines, which have the ability to pack clamshells, punnets, bags and boxes all with one machine. “The Evolution has dominated the mainframe fresh packing market for the past five years and continues to grow into other markets and industries worldwide” according to Fred Pieplow, A&B President.

Rua Associates, LLC proudly served as the exclusive mergers and acquisitions representative for Lakewood Process Machinery.

Highly Profitable Machine Shop

Monday, April 06, 2015
 

Rua Associates LLC, West Michigan’s premier mergers and acquisitions firm, is pleased to announce the sale of Machine Shop Services, a Holland-based machine shop, to Agritek Industries, a Holland-based diversified manufacturer.

Rua Associates was hired by the owners of Machine Shop Services to represent them during the transaction. Pat Henagin, a former partner, stated: “We are happy with the sale and, in hindsight, it happened quite quickly. Ken and I are looking forward to helping transition the business over to the new owner.”

Machine Shop Services was established in Holland, Michigan over a decade ago. Machine Shop Services is a very successful operation that has gained the respect of small and large manufacturing companies in the area. With its unique capabilities, Machine Shop Services is able to serve industries as diverse as automotive, mining, oil and construction. Marketing and sales efforts have been minimal and yet the Company has more than enough work, year after year. The Company has experience with machining new and specialty machine parts, such as weldments, fixtures and tooling plates.

Agritek Industries is a unique manufacturer with the ability to offer design, engineering and production of metal products and production processes from a single source. From metal stamping to CNC machining, production assembly to custom welding and fabrication, Agritek builds its processes around their customers. With in-house divisions focusing on wire forming and metal finishing, Agritek provides a single source for multiple manufacturing needs.

Rua Associates works on both the buy-side and the sell-side of mergers and acquisitions, and is anticipating continued growth as the economy improves. Rua Associates believes in an in-depth, personal approach to business & market preparation for the parties they represent in a transaction, and maintain that relationship until the transaction closes. They accomplish this by structuring the company as a fully- integrated team, which supports their clients from start to finish.

West Michigan Furniture Executive Buys Furniture Maker

Tuesday, March 24, 2015
  Rua Associates LLC, West Michigan’s premier mergers and acquisitions firm, is pleased to announce the successful sale of Flairwood Industries, located in Norton Shores, to local furniture executive Wayne Baxter.

Established in 1976, Flairwood Industries manufacturers cabinet and cart solutions for the Business, Education and Healthcare markets. Flairwood's strength is its manufacturing and assembly capabilities. They design and manufacture products with exceptional craftsmanship. Flairwood will celebrate its 40th year in business next year. Greg Lonnee and Terry Hill founded the business in 1976, and Paul Remondino purchased majority shares of Flairwood in 1988.

Wayne is a multi-faceted leader with a unique combination of product development, marketing, sales and business acumen. Previously, he had held a variety of leadership roles at Herman Miller, Attwood Corporation and Nuvar Manufacturing. Most recently, Wayne led the development and expansion of Herman Miller's Thrive ergonomic and technology portfolio. In addition to Wayne, Flairwood's ownership team includes his wife, Mary, as well as Joel Pyper and his wife, Joy. Joel is owner and President of Standard Lifters, a tool and die component company in Grand Rapids.

Despite selling their interests in the company, all three of the previous owners have agree to stay on as employees or contract consultants to Wayne.

Rua Associates, LLC proudly served as the exclusive mergers and acquisitions representative for this transaction.

(some excerpts courtesy of the Grand Rapids Business Journal and Charlsie Dewey)



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