American Securities LLC, a leading U.S. private equity firm, today announced its acquisition of Grede Holdings LLC in partnership with the Company’s management team. Grede is a leading manufacturer of cast, machined and assembled components for transportation and industrial markets. The Company was majority owned by a private investment fund managed by Wayzata Investment Partners LLC. Financial terms of the transaction were not disclosed.
Grede is the most diversified iron casting supplier and the number one producer of ductile iron castings in North America. The Company is a long-standing, full service supplier to a blue chip customer base within the light vehicle, medium and heavy truck, and industrial end markets. Grede’s products include safety critical chassis, suspension and drivetrain components for automotive applications, highly engineered engine and chassis components for heavy duty truck engines, and large axle housings and other drive train components for heavy equipment and agriculture markets. The Company operates 17 facilities throughout North America with approximately 4,700 employees. Grede was formed in 2010 through the combination of assets of the former Grede Foundries, Inc., Blackhawk Foundry (USA), and Citation Corporation. The Company was recently named to Crain’s Detroit Business’ list of the Fastest Growing Companies with the fifth highest growth rate in southeast Michigan over the last four years.
“Grede has established a successful track record highlighted by strong revenue growth, best-in-class operations, reputation for quality and reliability, and our long-standing customer relationships,” said Douglas Grimm, Chief Executive Officer of Grede. “For the next chapter in the Company’s evolution, we look forward to partnering with American Securities to continue to expand our business and serve our customers.”
“Grede is another example of our focus on identifying superior market-leading businesses,” said Kevin S. Penn, Managing Director at American Securities. “We are excited to partner with Grede’s exceptional management team, and believe the Company’s operational excellence positions it well to benefit from continued growth in the auto and construction markets.”
Weil, Gotshal & Manges LLP served as legal counsel to American Securities, and Stroock & Stroock & Lavan LLP served as legal counsel to Grede with respect to the transaction.
he Weil team includes:
Partner Michael Weisser (New York)
Associate Sandra Rutova (New York)
Associate Elliot DeRemer (Dallas)
Megan Ward (New York) (not yet admitted to practice)
Banking & Finance
Partner Allison Liff (New York)
Associate Clinton Hutchings (Dallas)
Associate Alana St. Aude (New York)
Associate Anne Ford (New York)
Partner Mark Schwed (New York)
Associate William Dong (New York)
Partner Annemargaret Connolly (Washington)
Associate Thomas Goslin (Washington)