Edgewater Growth Capital Partners is pleased to announce the recent acquisition of Salter Laboratories, Inc. (“Salter” or the “Company”). Founded by former owner Pete Salter in 1976, Salter is a leading manufacturer of consumable respiratory products for the home medical and acute care markets. The Salter acquisition was completed in partnership with Bolder Capital LLC and RoundTable Healthcare Partners.
Salter’s products are used for oxygen and aerosol medication delivery, anesthesia and sleep disorder diagnosis. Most of the Company’s products are disposable or single-use and many have patented designs that help improve patient outcomes and the quality of care. The new ownership group will pursue growth opportunities through international expansion, further penetration of domestic markets, new product introduction and possible tuck-in or product line acquisitions.
Edgewater Growth Capital Partners II, L.P. is pleased to announce the recent sale of our portfolio company Harrington Holdings, Inc. (“Harrington”). Harrington is a multi-channel marketer and distributor of medical supplies serving chronic disease patients. Harrington was acquired in January 2007 and increased revenue nearly 100% during the three year investment period. The company has been sold to private equity firms Clayton Dublier & Rice and GS Capital Partners providing a highly attractive return to our Limited Partners.
Harrington is the fifth realization from Edgewater Growth Capital Partners II, L.P., a 2006 vintage fund. By adhering to our investment strategy of low purchase prices, focus on profitable growth and conservative use of debt, Edgewater has been able to achieve attractive returns on investments made at the peak of the market and subsequently sold during the current economic downturn.
Edgewater Growth Capital Partners II, L.P. is pleased to announce the recent sale of our portfolio company Trausch Industries (“Trausch”) to Anthony International (“Anthony”). Trausch is the leader in and creator of re-skinning for the on site refurbishment of refrigerator and freezer cases in retail stores. Anthony is a leader in the U.S. commercial refrigeration industry and the world’s largest manufacturer of commercial refrigerator display systems and doors. Anthony acquired Trausch to leverage the strengths of their complementary products and customer relationships.
Trausch is another example of Edgewater’s investment strategy. This investment opportunity was introduced to us by one of our Limited Partners and was completed at an attractive valuation with a low level of debt. During our ownership period, covering 2007 through 2009, we assigned an experienced executive as the Company’s Chairman and worked closely with the Company to make new customer introductions and operational improvements. By adhering to this discipline and by being conservative in our use of debt, we are able to achieve attractive realizations and make new investments through periods of economic downturn and challenging financial markets.