Chartwell Advises Exactec on Sale to Presence From Innovation

Chartwell is pleased to announce the sale of Exactec, Inc. (“Exactec” or the “Company”) to Presence From Innovation (“PFI”), a portfolio company of Capital For Business (“CFB”). The combination of these two entities presents an excellent opportunity for PFI to further penetrate the competitive point-of-purchase retail display market, especially within the high-end display sector for national retail accounts. Chartwell served as the exclusive financial advisor to Exactec, providing comprehensive, unbiased counsel to its sole shareholder, Ken Carney.

PFI is a manufacturer and distributor of retail store displays and fixtures, providing custom injection-molded single-serve coolers, specialized retail racks, and other fixtures made of plastic, wood, metal, and wire designed to drive consumer brand preference and purchasing decisions. PFI boasts a highly tenured base of clients ranging from Fortune 50 B2C companies to small independent retailers and craft consumer brands. PFI is located in St. Louis, Missouri and was founded in 1956.

Also headquartered in St. Louis, CFB is a middle-market industrial growth investment firm committed to providing capital to manufacturing and value-added industrial services companies. CFB takes a collaborative approach with investments by partnering with strong management teams to provide the resources and board-level guidance necessary to succeed.

PFI’s ambition lies in horizontal expansion via new customer acquisition and product portfolio expansion and quickly saw value in a combination with Exactec early in the sale process. Exactec’s high-end product and quality capabilities will provide PFI with access into new corners of the point-of-purchase retail display market. Additionally, the tenured blue-chip customer relationships that Exactec has cultivated will allow PFI to cross-sell into numerous national retail client accounts from day one. These advantages, in addition to significant operational synergies, will set the foundation for a bright future for both companies.

Chartwell Value Add

“This is an excellent outcome for all parties involved and Chartwell was instrumental in achieving this. Chartwell took the lead in each step of the sale process with detailed analysis and thoughtful guidance at all times. I feel very fortunate to have chosen Chartwell to lead me through this extremely important process for my business and my family and I am extremely confident this combination with PFI will result in expanded opportunities for both companies."

— Ken Carney, President & Owner, Exactec

About Exactec

Headquartered in Chaska, Minnesota, Exactec is a leading provider of custom designed, high quality point-of-purchase displays and fixtures for retailers, consumer packaged goods manufacturers, and third-party point-of-purchase display firms. The Company provides clients with a one-stop-shop experience through a unique suite of capabilities ranging from initial CAD drawings to comprehensive manufacturing and the nationwide distribution of finished goods. Exactec leverages a dedicated team of professionals and extensive industry experience to provide a leading level of quality paired with attractive lead times and prices. Since Ken Carney purchased Exactec in 2000, the Company has established an impeccable reputation in the market and has enjoyed 8%+ annual revenue growth across the 20 years as a result.

“We were honored to work with Ken and his team in the sale of Exactec. Their position in the marketplace, strong leadership team, and customer-centric culture created a compelling story for potential buyers. We were happy to find the right fit with PFI in terms of culture and transaction structure and are delighted to have achieved a great outcome for Ken and the management team."

— Wil Becker, Managing Director, Chartwell

About Chartwell Financial Advisory

Chartwell provides comprehensive financial advisory solutions and investment banking services to the middle market. With substantial corporate finance expertise, the Chartwell team works with clients and their advisors to deliver independent, solutions-based advisory services that are unbiased to outcome, free from conflicts, and focused on optimizing client objectives. For more information about our corporate finance and M&A capabilities, please contact Greg Fresh. For additional information on this transaction, please contact Wil Becker.

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