Holding Company Buys Majority Stake in BuschePosted: Updated:
A private New Hampshire firm has announced the acquisition of Fort Wayne-based Busche Enterprise Division Inc. Shipston Equity Holdings LLC says it intends to pursue an "aggressive expansion," led by the machining company's Chief Executive Officer Nick Busche. November 10, 2014
Statement From BUSCHE CEO/President Nick Busche
FORT WAYNE, Ind. - On behalf of the entire BUSCHE Team, I am very pleased to share with you a press release distributed earlier this morning announcing our new majority equity partner, Shipston Equity Holdings, LLC.
Our new partnership with Shipston is a very positive development for BUSCHE helping to secure our long term, strategic growth in North America and in global markets. We anticipate having a seamless transition. The existing management team will remain, and continue to lead the company forward. Together, Shipston and Busche will establishes an incredibly strong, stable, global CNC machining organization that serves multiple, dynamic end markets. BUSCHE's portfolio mix of markets and customers will remain diversified across automotive, commercial truck, agricultural, construction and other industrial markets.
We are delighted to join Michael Dingman's group at Shipston Equity Holdings, LLC , which has the resources, experience, access to capital and reach that will enable BUSCHE to offer its customers a greater product and service portfolio.
I would like to underscore that Michael Dingman shares our commitment to BUSCHE’s future for our employees, customers, and suppliers. As a valued associate, you should experience no change to our daily support of your requirements and expectations.
Thank you for your continued support of BUSCHE. We genuinely value our relationship with you and look forward to expanding our business in support of our valued customers, employees and communities. Currently BUSCHE encompasses nine manufacturing facilities and several supporting units with over 720,000 square feet under roof in North Eastern Indiana and Northern Alabama. With over 650 non union employees and over 300 CNC Machine Tools, Busche is dedicated to continuous improvement, employee education in CNC Manufacturing and superior customer satisfaction. For Additional details regarding BUSCHE visit our web-site at www.busche-cnc.com
Source: Busche Enterprise Division Inc.
HAMPTON, N.H. - Shipston Equity Holdings, LLC. (Shipston), a privately owned company, today announced the acquisition of Busche Enterprise Division, Inc. (Busche), a leading computer numerical control production machining company. Terms of the transaction were not disclosed.
Busche specializes in precision production machining for automotive, agriculture, construction and industrial markets. The company also provides project management integration of customized workholding solutions. Founded in 1997 by Nick A. Busche, the company employs 650 people at manufacturing operations in Indiana and Alabama.
Shipston Chairman and CEO Michael Dingman, the majority shareholder, is a leading international industrialist known largely for his accomplishments in forming and leading several diversified companies. In addition, he has served on numerous boards, most notably Ford Motor Company for 23 years.
"We are fortunate to partner with Nick and his entire management team in the next phase of growth with this tremendous company," Dingman said. "We share fundamental principles in valuing employees, customers and suppliers. Under Nick's continuing leadership, we intend to pursue an aggressive expansion for the long term support of our customers. On the broader front, I see growth opportunities that are very similar to those that I experienced with the Henley Group, empowering topflight operational management with substantial equity firepower, and proper financial expertise, which will really allow Busche to makes waves across the sector."
Under the agreement, Dingman will be majority shareholder, while Busche will continue as CEO and president of Busche.
"I'm very pleased to be joining Shipston," Busche said. "Our values are closely aligned and our focus on long term operating fundamentals and growth makes a really powerful combination. Now, under the Shipston umbrella, plans are a foot to make substantial commitments to increasing capacity and work has already begun on significant expansion in Indiana and elsewhere. All of this will allow Busche to continue to grow as an industry leader."
Dingman also named financial partners as key to the acquisition and future growth of the company, citing ORIX Americas, Oakmont Group, and Shea Ventures. Senior financing was provided by Comerica Bank, which has a long history across the manufacturing sector. Reed Smith LLP was legal counsel to Shipston in this transaction.
"We are pleased to be investing in such a fine company and management team," said Jeff Sangalis, managing director of ORIX Mezzanine & Private Equity. "We are also particularly excited about the opportunity to team with Shipston, which is ideally suited to assist the Busche management team in taking advantage of the substantial growth opportunities ahead."
Dingman is well-known for success founding growth companies, including the Henley Group, Fisher Scientific, Allied Signal, Signal, and Wheelabrator Frye. The Henley Group was founded through an IPO, the largest of its time, and the company's operating units, widely known as "Dingman's Dogs," achieved notable success.
"The combination of a great operating team and our financial partners will provide the building blocks for future growth and acquisitions in this industry sector," Dingman said of Busche. "My objective is to make this my most successful investment and position it for a solid future through acquisitions like my operating team did with Henley, Fisher Scientific and Wheelabrator."
For additional information about BUSCHE, visit www.busche-cnc.com.
For additional information about Shipston Equity Holdings, visit shipstongroup.com.