04/02/2024
Vance Street Capital, a Los Angeles-based private equity firm, announced it has partnered with Keltec Technolab Inc's management team to support the business during the next chapter of its growth. Keltec is a leading North American provider of aftermarket filtration components for compressed air solutions. The acquisition represents Vance Street's seventh platform investment out of Vance Street Capital III L.P. and leverages the firm's experience in industrial technology as well as in the aftermarket filtration consumables space.
Headquartered in Twinsburg, Ohio, Keltec specializes in designing, developing and manufacturing an extensive array of filtration solutions for compressed air solutions across various industries, including general industrial, pharmaceutical, aerospace and many others. Keltec's product offering is diverse with over 12,000 SKUs, spanning from air/oil separators to air filters, oil filters, coalescing filters and refrigerated air dryers, all of which are essential in avoiding defects and extending the useful life of compressed air systems for its customers.
Keltec, founded by the Kaiser family over 40 years ago, is a valued partner to its global base of customers recognized for its customer service and high-quality products. As part of the transaction, the Kaiser family is retaining a significant ownership position in Keltec and will continue to lead the business going forward.
"I'm thrilled about this partnership as it empowers us to invest in growth, both organically and through M&A, thereby strengthening our market position as an aftermarket filtration parts provider. This opportunity also allows us to maintain a culture dedicated to surpassing the needs and expectations of our customers," said Ed Kaiser, CEO of Keltec. "Vance Street's track record of focusing on how to grow an organization, investing in the right people, process and product innovation, is a great fit for our organization."
"Vance Street is always looking to partner with successful entrepreneurs like the Kaisers," said Nic Janneck, Partner at Vance Street. "Over the last 40 years, the Kaisers and their team have built a highly differentiated company. With Vance Street's additional support and capital, Keltec will be able to invest in the business, accelerate its new product development and continue to provide its customers best-in-class service."
"We are excited to partner with the Kaiser family to support Keltec's commitment to offering an extensive suite of high-quality products to its global customer base," said Yousaf Tahir, Vice President at Vance Street. "Vance Street's ability to leverage its experience in industrial technology as well as the consumable filtration ecosystem makes Keltec a great fit for us."
"Keltec is a great opportunity for Vance Street to leverage its value-creation playbook," said Mike Janish, Managing Partner at Vance Street. "We are honored to be partnering with the Kaiser family during the company's exciting next phase."
Goodwin Proctor LLP acted as legal advisor to Vance Street Capital. Signet Capital Advisors served as financial advisor and Brennan Manna Diamond LLP served as legal advisor to Keltec. Debt financing for the transaction was provided by Apogem Capital. Terms of the transaction were not disclosed.
About Keltec Technolab
Keltec Technolab was founded in 1982 by Ed Kaiser, Sr., formerly an engineer of the Air Maze Corporation for over 20 years. With initial production of air-oil separators, Keltec Technolab eventually added air-intake filters, oil filters, coalescing filters and synthetic compressor lubricants. Keltec acquired Technolab (a former division of Flair Corporation), another air-oil separator manufacturer making the new Keltec Technolab the largest manufacturer and supplier of air-oil separators in North America. Today, Keltec Technolab provides its products as original equipment to most of the major manufacturers of air compressors in North America. For more information, visit https://keltec.ind.br/en.
About Vance Street Capital LLC
Vance Street Capital is a middle-market private equity firm focused on investing in highly engineered solutions businesses across the medical, life science, industrial technology, and aerospace & defense sectors. For over two decades, Vance Street's partners have worked with management teams and family owners to accelerate revenue growth, improve operations and acquire strategic assets for the companies in their investment portfolio. For more information, visit https://vancestreetcapital.com.
