Mangrove recently purchased Minneapolis, Minnesota based Tioga, Inc. from its current entrepreneurial ownership team to affect the Mangrove team’s 127th transaction and enter our 54th industry. Tioga is a manufacturer of temporary and permanent heating solutions for industrial applications. The Company rents and sells both direct-fired and indirect-fired heaters to a wide range of markets worldwide. Due to its broad product offering, consultative technical sales approach, well-established customer relationships, and market-leader position, the Company has been able to grow significantly over the past few years and is poised for steady future growth.
Mangrove invested alongside private investment firm Hunter Equity Capital, LLC and its Managing Partner Douglas Smith, a private equity veteran with considerable equipment rental experience. “I introduced the partnership opportunity to Mangrove because of their post-closing operational expertise and extensive experience working with companies in the lower middle market. Combine those traits with a ‘we do what we say we’ll do’ ethic and Mangrove differentiated themselves significantly from other potential equity partners,” said Mr. Smith.
Mangrove brought more than the commodity of cash to the transaction and to Tioga:
- Mangrove went beyond contractual obligations to provide a more favorable transaction structure for the sellers than originally agreed upon in the Letter of Intent
- Mangrove worked through the complexity of unaudited financial reporting to get the deal across the finish line
- The Mangrove operating team is working closely with management to attract an ideal successor for the retiring owner/operators
- The Mangrove operating team is assisting management in building a more robust sales and marketing organization
Mangrove Equity Partners: More Than the Commodity of Cash. The Mangrove team works hard to be your go-to private equity fund in the lower middle market by leveraging our extensive experience (127 deals across 54 industries) to make quick decisions and get deals done. Mangrove’s three-man internal operating team affords us an ability to relate to entrepreneurs through shared experience, and credibility.
The Mangrove team has maintained an attitude and practice of partnership with our deal sources over the past 24 years. We roll up our sleeves and work with intermediaries to do what is necessary to move deals forward. If a deal is not a fit for Mangrove’s criteria, we endeavor to provide accurate and helpful suggestions as to who may have a pointed interest. Our goal is to help our deal sources get their deals done and accordingly, become their go-to fund in the lower middle market. We hope to have the pleasure of working closely with you.