ACCEL bought by MSD & Superchips owner
Investor Z Capital Partners, the owner of El Paso, Texas
based MSD Powersports, has added to its powersports portfolio by acquiring
ACCEL.
The Cleveland, Ohio based ACCEL group includes brands such
as Mr. Gasket, Mallory Ignition, Lakewood, QuickTime and Hays.
“The acquisition of ACCEL significantly enhances our
position in ignition technology and allows MSDP to expand our product portfolio
aimed squarely at diehard racing and street performance enthusiasts,” said Rick
Ruebusch, Chief Executive Officer of MSDP.
“ACCEL complements our existing brands, providing us with
both increased capability and an unmatched footprint in the aftermarket. With
this complementary acquisition and ACCEL’s impressive portfolio of brands, MSDP
has
an even greater ability to serve our customers with new,
innovative product offerings.”
Z Capital Partners bought MSDP out of Chapter 11 in December
2013. At that stage it was part of Autotronic Controls, which had been founded
in El Paso, Texas, in 1970. The MSDP "portfolio" also includes the
(originally British) Florida based Superchips/Vigilante engine tuner operation,
meaning that the new group line-up now includes three different brands,
engineering pedigrees and performance culture heritages, all of which have
product for the Harley-Davidson performance aftermarket.
Z Capital Partners was founded in 2006 as an investment vehicle
by James Zenni, who is Chairman of MSDP and CEO of Z Capital.
“ACCEL is a natural fit for MSDP and a valuable addition to
the company’s product portfolio,” said Zenni. “Since making our investment in
December 2013 [in MSDP via its then named Hot Rod Brands LLC investment
vehicle], MSDP has experienced significant growth, as well as enhanced its
product innovation, brand marketing and distribution strategies.
"We look forward to the company’s continued success
with the addition of ACCEL and its impressive collection of brands.”
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James
Zenni founded Z Capital in 2006. Having acquired MSD (El Paso, Tx) and
Superchips (Sanford, Fl) he has now added Cleveland, Ohio based ACCEL (and the
group's other famous name brands such as Mr Gasket, Mallory, Hays and
Lakewood) to his burgeoning powersports industry portfolio: "We look for
businesses that have defendable market share and high cash-flow"
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According to Bloomberg Business Week, Mr. Zenni "has experience of investing in opportunistic,
value-oriented private equity, mergers and acquisitions and related strategies".
He co-founded Black Diamond Capital Management, L.L.C. (BDCM) in 1995, and was
responsible for all portfolio management and business operations at the firm until
he divested his ownership interest in 2006. Bloomberg went on to say that
"he was responsible for numerous distressed debt/private equity
transactions at the firm."
Z Capital Partners has approximately $1.9 billion of assets
under management and offices in Lake Forest, IL, and New York, NY. The company
says that their approach in private equity "includes making control
investments in companies that may require growth capital, balance sheet and or
operational improvements.
Z Capital portfolio companies are said to currently have
aggregate worldwide annual revenues of approximately $1.5 billion, sell
products in over 30 countries, and employ in excess of 190,000 associates
directly and through joint ventures.
