Excel Engineering, a Diagonal, Iowa-based testing and certification firm serving North American original equipment manufacturers, has secured a strategic investment from Fusion Capital Partners, a Los Angeles-based private equity firm focused on engineered products and services in the industrial sector. The partnership is intended to help Excel scale its business and broaden its technical capabilities as OEMs and industrial customers navigate increasingly complex regulatory requirements and the continued evolution of powertrain and battery technologies.
Excel provides testing services spanning engines, powertrains, battery systems, and fuel types across mobility and industrial applications. The company supports blue-chip OEM customers through emissions, battery, durability, and specialty testing programs across the full product lifecycle—from pre-production validation and development work through in-service compliance, certification, and ongoing regulatory support. The company said it is deeply embedded within OEM engineering and compliance organizations, positioning its work as a critical component of ensuring products and platforms meet both performance specifications and regulatory standards.
Under the new partnership, Fusion will serve as an equity partner and will support Excel in enhancing and expanding its capabilities, capacity, and talent base. While the parties did not disclose financial terms, the investment is framed as a growth-oriented step to expand Excel’s ability to serve customers through a broader suite of services and deeper resources.
Doug Sobotka, who founded Excel in 2002 and continues to lead the company as CEO, said the firm evaluated potential partners based on industry experience, expertise, and an approach aligned with Excel’s long-term growth goals. He pointed to Fusion’s collaborative style and track record of strategically scaling businesses as key factors in selecting the firm as Excel’s partner for the next phase of expansion.
Fusion Principal Jeff Chaney said the firm views Excel as a business with meaningful runway for continued growth, citing the company’s market position, customer relationships, and “industry tailwinds.” He added that Fusion intends to apply its partnership-driven growth playbook to support Excel’s continued development and to help the company expand its leadership position in the testing and certification market.
Excel will continue operating from its headquarters in Diagonal and will remain under Sobotka’s leadership, along with the current management team.
Support: Advisors on the transaction included KeyBanc Capital Markets as Excel’s exclusive financial advisor and McDermott Will & Schulte LLP as legal counsel. Fusion was represented by Jefferies Private Funds Group as an advisor, KPMG Corporate Finance as exclusive financial advisor, and Paul Hastings LLP as legal counsel.
KEY QUOTES:
“We are excited to partner with Fusion as we embark on our next chapter of growth. In evaluating a firm that could help our company build on the strong foundation we have cemented over the past two decades, Fusion’s extensive industry experience and expertise, growth-oriented mindset and collaborative approach to strategically scaling businesses is what helped them stand out as the ideal firm for Excel. We are looking forward to a successful partnership.”
Doug Sobotka, CEO of Excel Engineering
“Doug and the entire Excel team have built a remarkable business since its inception, one in which we believe has the ability to scale further over the coming years. The Company’s strong market position and deep customer relationships coupled with attractive industry tailwinds, creates a strong foundation to deploy our partnership-driven growth playbook. We look forward to helping Excel continue to ascend as an industry leader and create value for their stakeholders.”
Jeff Chaney, Principal at Fusion Capital Partners
