Wisdom Capital Partners has partnered with Stanwich Partners and Ironwood Capital to acquire privately-held Advanced Recycling Systems (ARS) of Lowellville, Ohio.
Founded in 1991, ARS designs and manufactures patented equipment used in the collection, recycling and removal of dust and debris generated in industrial environments.
ARS offers a proprietary line of products including steel grit recyclers and dust collectors for the bridge painting, municipal water tank, shipbuilding and industrial market segments.
"ARS is well positioned for future growth as an aging infrastructure in the US continues to require significant investment and attention. There is also a growing need for environmentally-friendly industrial solutions. ARS is poised to benefit from both drivers of demand, and we are delighted by this acquisition," says Dominic Petito, president and chief executive of Wisdom.
Tom Herrmann, a managing director of Stanwich, will serve as interim chief executive of ARS following the acquisition. "We were attracted by ARS’ reputation and the quality of its products, which are second to none in its industry,” he says. “We believe the company’s prospects are excellent as ARS continues to gain share in its existing markets and enter new industrial markets where there is a need for recycling solutions."
Gus Lyras, a founder and shareholder of ARS, says: “The shareholders of ARS were pleased to enter into this transaction which, among other things, provides the company with the resources and expertise to take advantage of growth opportunities that we couldn’t exploit on our own. We are all looking forward to taking the company to the next level and see a bright future ahead for ARS."
The company will continue to operate under the same name in its current facility in Lowellville and expects to retain all of its employees, including senior management, following the transaction.
Ironwood Capital provided financing for the transaction in the form of senior subordinated debt and equity.
