Central Industrial Manufacturing, a three-time winner designated as one of Michigan’s Top 50 Companies to Watch has completed the deal to acquire Buchanan-based GP Manufacturing as CIM continues to grow exponentially.
Calder Capital brokered the deal that sends GP Manufacturing into the fold at Central Industrial Manufacturing, which is a precision CNC manufacturing company based in Harbor Springs, Michigan.
CIM, a certified woman-owned precision CNC machine shop specializing in productions parts, prototypes, fixtures, component parts, and machine wear parts, has grown and demonstrated incredibly stable financial performance in recent years, with very consistent cash flows and little debt.
For GP Manufacturing, a general machining job shop first established 24 years ago, founder Gordon “Butch” Payton looks for a smooth transition for both parties.
Payton established GP Manufacturing out of pure demand back in 1995. After making his first few parts for a friend in need of a favor, it wasn’t long before word of his services spread and he was flooded with various jobs and quoting requests. GP Manufacturing has differentiated itself over the years through quality and the ability to start from scratch on any project and build new, creative designs and prototypes.
Payton was pleased with the transition saying, “The entire process took only a little longer than 7 months from initially reaching out to Calder to closing which was less than I expected. The team was great to work with, not only quick to respond but very knowledgeable and helpful. I look forward to ensuring a smooth transition for Central Industrial.”
Max Friar, Managing Director at Calder Capital says of the deal, “GP Manufacturing is a traditional example of a homegrown company that, with a focus on quality and a dedication to a customer-focused approach, has served an established customer base for many years. The company will be a great fit and should integrate smoothly with Central Industrial Manufacturing.”
Friar has noticed an uptick in M&A activity late in the first quarter, saying, “As soon as the sun comes out buyers and sellers seem to perk up and the pace intensifies. Look for a strong Q2 market as potential sellers look to capitalize on current conditions in the face of some future uncertainty.’
Central Industrial Manufacturing specializes in custom prototype and low to mid-volume production runs. The company has a wide variety of capabilities and boasts AS9100 Rev D and ISO9001:2015 Certifications among other quality assurance and contractual certifications.
As a result of this acquisition, Central Industrial Manufacturing will acquire not only the clients, assets and custom tooling abilities of GP Manufacturing, but also a dedicated, trustworthy and experienced team.
Calder Capital, LLC served as the exclusive M&A Advisor for GP Manufacturing, Inc. GP Manufacturing engaged Calder in the fall of 2018 and the transaction closed in last month. It was Calder’s 3rd closing of the year.
