Clearlake Capital Group has sold Team Technologies to an affiliate of Arlington Capital Partners, the two private equity firms said today.
Terms of the deal were not disclosed. Morristown, Tennessee–based Team Technologies is an end-to-end contract manufacturer of non-discretionary, consumable dental and healthcare products. The company has around 1 million square feet of manufacturing space at nine campuses in the U.S., Mexico and Singapore.
“We are proud of the milestones we have achieved together with Clearlake,” Team Technologies CEO Marshall White said in a Clearlake news release. “Their strategic support enabled us to enhance our operational capabilities, expand our product portfolio, and foster strategic partnerships with our customers. We are excited about the next chapter and the continued opportunities that lie ahead.”
White started his career as a mechanical engineer at Alcoa and became CEO and president of its Closure Systems International plastics packaging business before he was hired to lead and grow Team Technologies in 2016.
Clearlake Capital Group invested in Team Technologies in 2018 and grew the company through acquisitions and strategic organic initiatives. In a joint statement, Clearlake co-founder and Managing Partner José Feliciano and Partner and Managing Director Arta Tabaee credited their O.P.S. (operations, people and strategy) improvement approach.
“By leveraging Clearlake’s O.P.S. capabilities in partnership with management, we were able to support the company through a period of significant organic growth during which we restructured Team’s go-to-market strategies to target key healthcare verticals,” they said. “We augmented these initiatives with a disciplined M&A strategy, highlighted by three highly strategic add-on acquisitions, that furthered Team’s evolution into a scaled, healthcare-focused specialty manufacturing and supply chain solutions platform. These initiatives resulted in Team Technologies doubling revenues, while increasing healthcare end-market exposure to more than 90% of revenue during our partnership.”
In a separate news release from Arlington Capital Partners, White said he spent enough time with Arlington Capital Partners Managing Partner Matt Altman and his group over the last few years to “believe that with their 25 years of experience in this highly regulated sector they are best positioned to help us build on the successes we have achieved and accelerate our growth, both organically and through strategic acquisitions, to take our business to the next level.”
Washington, D.C.-based Arlington Capital Partners is investing out of its $3.8 billion Fund VI. The private equity firm also invests in other government-regulated industries such as government services and technology, aerospace and defense.
“As the last five years have demonstrated, global supply chains are not nearly as fortified as they need to be, particularly in medical device manufacturing,” Altman said in the release. “Team Tech is not only focused on providing the world’s leading healthcare OEMs with holistic solutions for all their design and manufacturing needs, but also on strengthening our healthcare supply chains to improve the delivery of these critical goods to end users.”
