Behrman Capital announced the closing of Behrman Capital CV II, a new single-asset continuation vehicle of approximately $250 million connected to the sale of portfolio company Shurco.
Shurco is a provider of cargo covering and control systems and related accessories for the transportation industry.
The continuation vehicle was formed in connection with the sale of Shurco by Behrman Capital VI and other investors.
The vehicle is managed by Behrman Capital and is supported by new and returning limited partners.
Coller Capital served as lead investor, with additional investments from Northleaf Capital Partners and Siguler Guff.
Behrman, existing Fund VI limited partners, and Shurco management rolled significant proceeds into the continuation vehicle as part of the transaction.
Behrman Capital VII also completed a significant investment in Shurco alongside the continuation vehicle.
The transaction will provide incremental capital to support Shurco’s next phase of growth.
That growth strategy includes strategic M&A to expand Shurco’s portfolio of complementary products and grow its presence in new markets.
Since Behrman VI acquired Shurco in 2021, the company has delivered strong revenue and EBITDA growth through organic initiatives and five accretive add-on acquisitions.
Behrman said it has scaled and diversified Shurco by expanding the company’s portfolio into complementary product categories and driving growth across new geographies and distribution channels.
Shurco is led by CEO Chad Heminover.
The continuation vehicle marks the third GP-led transaction completed by Behrman Capital.
In 2012, Behrman closed Behrman Capital PEP, a $1 billion multi-asset continuation vehicle formed to acquire a portion of the investments held by Behrman Capital III.
In 2022, Behrman closed Behrman Capital Micross CF, a $500 million single-asset continuation vehicle formed to acquire Micross Components from Behrman VI.
Shurco serves agriculture, construction, waste, flatbed, and rail markets with cargo protection and load securement solutions.
The company serves OEMs, dealers, distributors, and the aftermarket and has 14 facilities in the United States and the United Kingdom.
Behrman Capital is a New York-based private equity firm that invests in management buyouts, leveraged buildups, and recapitalizations of established growth businesses.
The firm focuses on defense and aerospace, healthcare, and specialty industrials and has raised $4.7 billion since inception.
Support: Robert W. Baird served as financial advisor to Behrman Capital, and Ropes & Gray served as legal counsel. Latham & Watkins served as legal counsel to Shurco. Kirkland & Ellis served as legal counsel to Coller Capital.
KEY QUOTES:
“Shurco has delivered strong performance for Behrman VI over the past five years, and we look forward to continuing our successful relationship with Chad and the Shurco team. The Company’s growth trajectory has been impressive, and we see tangible opportunities to expand further in the coming years, supported by additional undrawn equity capital enabled by the transaction. We are delighted that the continuation vehicle is backed by high-quality limited partners, with additional support from Behrman VI investors. This transaction also allows Behrman VII investors to participate in Shurco’s continued potential.”
Simon P. Lonergan, Managing Partner of Behrman Capital
“Our growth over the past several years, including multiple transformative acquisitions, has solidified Shurco’s market leading position in the cargo covering, protection, and securement space. Under Behrman’s ownership, we have greatly expanded our footprint and built a more robust product portfolio, allowing us to better serve customers across new geographies and with a highly complementary suite of solutions. We are pleased to continue our relationship with Behrman and are looking forward to the opportunities ahead.”
Chad Heminover, CEO of Shurco
