Sale of CVI Melles Griot to IDEX Corporation Completed
June 13, 2011
Minneapolis, Minnesota – Norwest Equity Partners (“NEP”), a leading middle market investment firm, has announced that it has completed the sale of its portfolio company, CVI Melles Griot (or the “Company”), to IDEX Corporation (NYSE:IEX). CVI Melles Griot, a leading global designer and manufacturer of precision photonics products, including components, assemblies and systems, will operate within IDEX’s Health and Science Technologies segment as a key addition to the optics and photonics platform. The transaction was valued at $400 million and closed on June 10, 2011.
IDEX is an applied solutions company that specializes in a variety of technologies built to its customers’ exacting specifications, including fluid and metering, health and science, dispensing equipment, and fire, safety and other diversified products. The combination of CVI Melles Griot and IDEX will generate many synergies, including sales and marketing channels, engineering expertise, and global brand recognition.
NEP initially invested in CVI Melles Griot in 2003 and was attracted to its differentiated business model and growth potential. NEP believed that the Company’s strong position in the photonics space, along with its enabling technologies with increased applications, provided an opportunity for expansion into diverse industries.
Over the course of its eight year investment, NEP helped CVI Melles Griot build and establish a strong management team, leverage its brand heritage and historical expertise in optical components, and aggressively expand its product offerings to transition the Company into a diversified photonics supplier. Manufacturing operations were established in eight countries on three continents, and shareholder value was increased through new product and market development, operating initiatives, and a growth strategy focused on technology–driven capabilities.
Over the years CVI Melles Griot also leveraged the experience of John Hale, a seasoned NEP operating partner with 40 years of applied technology industry experience. Hale served as board member and Chairman at the Company and played an integral role in helping to develop and successfully realize strategic growth initiatives, including four add-on acquisitions during NEP’s ownership.
Tom Schauerman, Principal at NEP, stated, “We worked closely with Stuart Schoenmann, CVI Melles Griot CEO, and his management team to transform the company from a component supplier to a small set of industries to a global supplier of assemblies and systems serving top OEM customers in a very diverse group of industries, including biotech, defense and security, industrial, consumer and scientific. The management team’s consistent leadership over the years helped us achieve this significant growth, making CVI Melles Griot a leader within the photonics industry.”
Schoenmann stated, “From guidance on growth strategy and several strategic acquisitions, along with the commitment of capital and operating partner resources, NEP has been instrumental to our success. They have been a terrific investment partner.”
Founded in 1972, CVI Melles Griot is headquartered in Albuquerque, New Mexico. For more information, please visit www.cvimellesgriot.com.
Houlihan Lokey served as the exclusive financial advisor to NEP on this transaction.