High-Value Manufacturing (Printing & Packaging)
Complete Liquidity & New Management
Exited in November 2014
Global technology leader and manufacturer of precision rotary tooling for the converting, printing, and nonwoven industries.
When the family trust that owned RotoMetrics decided to seek liquidity, they sought advice from the CEO of a Morgenthaler legacy portfolio company. After the trust expressed a strong desire to maintain confidentiality, the CEO recommended they work with MPE’s Investment Professionals due to their industry knowledge and experience with family-owned transitions, ultimately leading to a privately negotiated transaction.
MPE’s Investment Professionals helped globalize RotoMetrics and professionalize its management team, before selling the company to a financial buyer in late 2014.
Original Investment Thesis
- Consumable product with large installed base creates recurring revenue streams
- Global market leadership in core solid tooling applications and well-positioned to capitalize on long-term trend towards flexible tooling
- Flexible manufacturing capabilities enable quick-turn delivery of rotary tooling on a global basis
- Facilitated required management succession by immediately utilizing an interim CEO and an interim CFO from MPE’s Executive Council
- Bolstered executive leadership team with CEO, CFO, and European MD hires to lead global expansion and product innovation efforts
- Realigned organizational structure by region, including North America, Europe, Asia, and Australia
- Entered new end markets including fast-growing carton, hygiene, and craft segments
- Expanded sales organization to pursue emerging markets
- Launched greenfield manufacturing facility in Thailand to expand Asia-Pacific market share
- Completed strategic acquisition in Europe which expanded product line and geographic reach and enhanced RotoMetrics’ technical capabilities
- Implemented global lean manufacturing and Six Sigma tools in North America, Europe, and Asia
- Enhanced global sourcing through strategic partnership in Europe and greenfield facility in Asia
- Consolidated global manufacturing footprint
- Implemented MRP system to forecast product capacity and standardize process steps
- Invested in production technology upgrades
- Refinanced balance sheet to lower RotoMetrics’ cost of capital
- Recruited new CFO and corporate controller to bolster finance team
- Instituted the company’s first annual budgeting process
- Developed formal monthly reporting packages and KPIs, including P&L by geography
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