MiddleGround Capital Announces the Sale of EDSCO Fasteners
LEXINGTON, Ky., July 17, 2023 (GLOBE NEWSWIRE) — MiddleGround Capital, an operationally focused private equity firm that makes control investments in North American middle market B2B industrial and specialty distribution companies, today announced the sale of its portfolio company EDSCO Fasteners (“EDSCO” or “the Company”) to Commercial Metals Company (NYSE: CMC) (“CMC”). EDSCO is a market leading manufacturer of mission-critical anchor bolts, fasteners, and specialty-fabricated anchoring products used in critical infrastructure applications.
Headquartered in Denton, Texas, EDSCO is the industry’s preferred partner supplying anchoring systems, which are predominantly embedded in concrete foundations and custom engineered to allow structures to be securely placed on top of them. Since its founding in 1985, the Company has grown to become a significant provider of anchor cages for concrete reinforcement and has developed a strong reputation for customer service and reliability. Each anchoring system is specifically designed for its location and usage, factoring in soil, weather conditions, temperature, and angle.
Predominantly serving Utility Transmission and Distribution (“T&D”) structure manufacturers, EDSCO’s product offering includes anchor cages, 18J rebar bolts, smooth bar bolts, bolt hardware, plates, and other fabricated products. The Company’s four strategically located facilities drive industry-best lead times, reduce freight costs and provide manufacturing location flexibility.
“We are thrilled by today’s news, particularly given the success the MiddleGround and EDSCO teams have achieved together over the past several years. We are extremely excited for EDSCO to embark on its next phase of growth and will remain passionate advocates of the Company and its remarkable team,” said John Stewart, MiddleGround Founding Partner. “We believe that CMC is the perfect home for the EDSCO team and will enable the Company to continue to execute on identified growth opportunities.”
With an average $75 billion in annual T&D market capital spend and over 642,000 national transmission miles, EDSCO is well-positioned as utilities continue to make record investments into the refurbishment and modernization of their T&D Grids. As grid owners continue to face vast challenges, including aging infrastructure, extreme weather conditions, physical security threats, and the integration of renewable power sources, EDSCO’s solutions remain critical to the long-term health and maintenance of the nation’s transmission lines and substations.
Under the ownership of the MiddleGround Capital team, in partnership with management, EDSCO successfully executed on various operational and strategic initiatives which have and will continue to position the business for continued and sustainable growth.
MiddleGround will continue to retain ownership of Attala Steel Industries (“Attala”), a manufacturer of steel foundation products for utility-scale solar power infrastructure, which was previously a part of EDSCO.
Stephens Inc. acted as exclusive financial advisor to MiddleGround Capital in its sale to Commercial Metals Corporation.
About MiddleGround Capital
MiddleGround Capital is a private equity firm based in Lexington, KY with over $3.3 billion of Assets Under Management. MiddleGround makes control equity investments in middle market B2B industrial and specialty distribution businesses. MiddleGround works with its portfolio companies to create value through a hands-on operational approach and partners with its management teams to support long-term growth strategies. For more information, please visit: www.middlegroundcapital.com.
MiddleGround Capital Media Contacts
Doug Allen/Maya Hanowitz
Dukas Linden Public Relations
MiddleGround@dlpr.com
+1 (646) 722-6530
