Mason Wells Newsletter 2023 – Volume 2

• MGS Mfg. Group, Inc. Acquires Technolution A/S
• MGS Mfg. Group, Inc. Sells Chihuahua, MX Operations
• KDV Label, LLC Names Keith Walz President and CEO
• Industrial Labels Holdings Corp. Names Brad Zechman President and CEO
• Mason Wells Featured in Private Equity News
• Mason Wells Announces New Hires

On May 31, 2023, MGS Mfg. Group, Inc., a global provider of integrated manufacturing solutions for complex, high-precision plastic components for Healthcare and Pharma applications, acquired Technolution A/S. This is the fourth acquisition for MGS, a Mason Wells Buyout Fund IV, LP portfolio company.

Based in Denmark, Technolution is a fast-growing consultancy and development company for Pharma and MedTech applications. This partnership establishes a position unique in the industry’s value chain—providing a seamless, vertically integrated solution from initial design ideation to final product delivery.

The acquisition brings together Technolution’s proven expertise in R&D, regulatory compliance, quality, and project management with MGS’ proven expertise in tooling, molding, and automation for high-quality products in Drug Delivery, Diagnostics, and other applications. By combining forces, Technolution and MGS mitigate project risks for their clients, and create an approach that streamlines the supply chain and accelerates time-to-market.

“Extending our offerings into the early stages of product development takes us to the next level of medical contract manufacturing,” said MGS Chief Executive Officer, Paul Manley. “And like Technolution, we achieve our goals with the most important factor, our employees, and nurture a culture of pioneering spirit, enthusiasm, and a will to succeed.”

Commenting on the new partnership, Technolution founder and primary shareholder Allan Spork said, “We’re very excited by this opportunity for our company. MGS has already acquired Formteknik, a provider of valuable services from the DFM/ESI to the validated upscale turn-key solution, with whom we have been working closely for more than a decade. Bringing us all together makes our offering uniquely comprehensive.”

For Technolution Chief Executive Officer, Thomas Bach Agerslev, the partnership opens new prospects for the company and its stakeholders. “Having multiple providers is inefficient and costly for Pharma and MedTech companies. That’s why they increasingly demand end-to-end solutions from a single supplier such as Technolution and MGS. For customers, this means a more integrated process, smoother collaboration through all phases, and as a result, faster time-to-market.”

For more information, please visit the Company’s website at www.mgsmfg.com.

On May 31, 2023, MGS Plastics Chihuahua, S.A. de C.V. and MGS Plastics, Inc., subsidiaries of MGS Mfg. Group, Inc., have divested certain assets (“MGS Chihuahua”) to Plastibell Mexico North S.A. de C.V., a subsidiary of Clayens Group, a European leader in processing polymers, composites, and precision metal parts. MGS Chihuahua is a fully self-sufficient plastic molding facility based in Chihuahua, MX serving industrial, automotive, electronics, and consumer end markets.

Headquartered in Germantown, Wisconsin, MGS Mfg. Group, Inc. currently operates from its 16 locations around the world. Acknowledged specialists in precision plastics, MGS offers vertically integrated total solutions across tooling, molding and automation from a single source, providing exceptional value to its global clients in Pharma, Diagnostics, and Healthcare.

For more information, please visit the Company’s website at www.mgsmfg.com.

KDV Label, a Mason Wells Buyout Fund IV, LP portfolio company, and label converter for the beverage, food, household cleaning, and personal care markets, announced earlier this year that Shane Vaughn would retire at the end of April. Keith Walz, KDV’s CFO, will serve as its new President and Chief Executive Officer.

Under Mr. Vaughn’s leadership over the last 28 years, the company grew more than four-fold to become a nationally recognized label solutions provider. “It was an incredibly tough decision to retire from KDV, which started in my parent’s garage and resulted in an incredibly successful business and lifelong friendships for both of them and myself,” said Mr. Vaughn. “However, the time is perfect for me to start a new chapter, and our family can rest assured that Mr. Walz, the leadership team, Mason Wells, and the Board of Directors will continue to grow the business with the same values of our family.”

Mr. Walz brings over 30 years of experience to the CEO role, including an extensive background in the manufacturing industry focused on profit optimization, revenue, EBITDA growth strategy formulation, and business development. He has a proven track record of managing and growing teams to achieve organizational objectives. Mr. Walz has served as the company’s Chief Financial Officer since 2021. Prior to joining KDV, Mr. Walz was President of Osborn, LLC, a manufacturer of industrial metal finishing products and prior to Osborn, LLC, he was the Vice President of Corporate Mergers & Acquisitions for Brady Corporation.

Mr. Vaughn and Mr. Walz have worked closely together over the last 18 months, which offered many opportunities to share and learn what makes KDV’s operations and culture work so well. Mr. Walz has already been impactful at KDV, and his experience promises to continue to help KDV achieve its strategic plans.

For more information, please visit the Company’s website at www.kdvlabel.com.

Industrial Labels Holdings Corp. (“ILH”), a Mason Wells Buyout Fund V, LP portfolio company, announced that Brad Zechman will serve as the Company’s new President and Chief Executive Officer. The hiring of Mr. Zechman represents the successful culmination of the succession plan implemented by the Company’s former CEO, Scott Lucas. Mr. Lucas will retire and continue as a key member of ILH’s Board of Directors.

Mason Wells acquired IDENTCO in September 2021 from Mr. Lucas and merged it with Reliance Labeling Solutions to create ILH. Under Mr. Lucas’ leadership during the last 37 years, IDENTCO became a leader in manufacturing durable labels for industrial applications. “One of the most important decisions a founder will ever make is choosing their successor,” said Mr. Lucas. “It is with excitement that I announce that Brad Zechman will become our new CEO.” Mr. Zechman’s appointment as President and CEO was unanimously approved by the Board of Directors following a national search.

Mr. Zechman brings 30 years of delivering top and bottom-line results across multiple sectors and geographies. Most recently, Brad served as President of Adhesives Research, where he and his team grew the business by more than 40%. Prior to Adhesives Research, Brad served in various leadership roles at HB Fuller, LORD Corp., Ford Motor Company, and National Starch. Brad holds a bachelor’s degree in chemical engineering from Rutgers University and an MBA in finance from The Wharton School.

For more information, please visit the Company’s websites www.identco.com and www.reliancelabel.com.

Private Equity News, a Europe-based business magazine about the private equity industry and a member of the media organization, Dow Jones & Co., published an article in their March 2023 issue announcing that Europe’s leading Paris-based business school, HEC, and Dow Jones have released their second annual ranking of the performance of mid-market private equity firms across North America and Europe. Mason Wells ranked 16^th out of 563 private equity firms putting Mason Wells in the top 3% of all private equity firms in these rankings.

The 2022 HEC-Dow Jones Mid-Market Buyout Performance Ranking lists its determination of the top private equity firms that raised between $1 billion – $3 billion between 2009 and 2018 in terms of aggregate performance across vintage years, considering relative and absolute returns. According to HEC and Dow Jones, in total, they analyzed the performance data from 563 private equity firms and the 2,021 funds they raised between 2009 and 2018 with an aggregate equity volume of $1.5 trillion. The rankings were released in February 2023 and were based on the performance of funds of these various vintage years as of December 31, 2022.

For more information, please visit Private Equity News.

Kaitie Gannett recently joined Mason Wells as a Director. Kaitie brings over 15 years of mergers & acquisitions and private equity investing experience to Mason Wells. Prior to joining Mason Wells in April 2023, Kaitie was a Director of Private Debt & Equity and Private Equity Funds at Northwestern Mutual Capital. Prior to Northwestern Mutual Capital, Kaitie was a Principal at Guidepost Growth Equity and was responsible for the origination, analysis, due diligence, and execution of private equity investments in middle-market companies. Kaitie began her career as an Investment Banking Analyst at William Blair & Company.

At Mason Wells, Kaitie is primarily responsible for initiating investment opportunities, conducting due diligence, negotiating debt financings, monitoring portfolio companies, and working with portfolio company managers and management teams. Kaitie received a Master of Business Administration from The Tuck School of Business at Dartmouth and a Bachelor of Arts from Hamilton College.

Drew Kneisel recently joined Mason Wells as an Associate. Prior to joining Mason Wells, Drew was an Investment Banking Analyst at Piper Sandler in Minneapolis, where he focused on the industrial sector and was involved in several industrial distribution services transactions. Prior to Piper Sandler, Drew was a Risk Analyst for Rexnord Corporation in Milwaukee. At Mason Wells, Drew is primarily responsible for supporting the funds’ investment activities, including investment analysis, financial modeling, market research, due diligence support, and the monitoring of portfolio companies. Drew received a Bachelor of Science degree in Finance from Miami University.

Katie Ferro recently joined Mason Wells as an Administrative Assistant/Receptionist. Before joining Mason Wells, Katie was a teacher at St. Roman Parish School, focusing on math and social studies for fifth-grade students. At Mason Wells, Katie is primarily responsible for greeting visitors, answering the phones, maintaining the company’s database, maintaining the office, and other administrative duties. Katie received a Bachelor of Arts and a Bachelor of Science from Marquette University.

To learn more about the Mason Wells team or to follow Mason Wells for the latest news, please visit Mason Wells LinkedIn or visit our website at www.masonwells.com.