Gridiron Capital Partners with M&D Distributors
Investment Positions Company for Accelerated Growth and Expansion in Highly Fragmented Diesel Engine Aftermarket Parts Industry
NEW CANAAN, CT, September 1, 2022 – Gridiron Capital, LLC (“Gridiron Capital”), an investment firm focused on partnering with founders, entrepreneurs, and management teams, today announced an investment in Magneto & Diesel Holdings, LLC (“M&D” or the “Company”), a leading value-added distributor and remanufacturer of mission-critical aftermarket parts for diesel engines from Warren Equity Partners. M&D serves as a one-stop solutions provider for every type of diesel application, with a focus on heavy duty and high horsepower vehicles used in the trucking, infrastructure, agriculture, marine, and transportation markets.
Since 1943, M&D has supported its aftermarket customers in maintaining, repairing, and replacing diesel engine parts with the primary goal of keeping its customers’ money-making machines operational – a critical value proposition captured by the Company’s tagline, “We Fuel Uptime.” Originally family-owned and operated, M&D has built a strong reputation over its more than 75 year operating history for its best-in-class customer service and consistent quality. M&D’s remanufactured parts offering recycles engine parts that are traded in and rebuilds them to like-new quality at a lower cost, which both reduces environmental waste and energy usage by giving a second life to existing components and increases cost savings for customers. Driven by its strong partnership model with leading OEMs and manufacturers, the Company also provides unique in-branch consultative sales expertise, and one of the broadest product suites in the industry serving all diesel needs.
Grant Garrett, CEO of M&D, commented, “We take pride in keeping our customers up and running and are excited to leverage Gridiron’s experience in the auto aftermarket and value-added distribution space to expand our capabilities and continue to enhance the customer experience. We had many options in choosing a partner for our next phase of growth, but our shared strategic vision made selecting Gridiron an easy choice.”
Kevin Jackson, Managing Partner of Gridiron, said, “We are honored to partner with Grant and the broader M&D team to build on the Company’s almost 80-year legacy of exceptional quality and service to the diesel engine aftermarket. The Company is positioned as the partner of choice in a large and highly fragmented market, and we are excited to help the M&D team further accelerate growth. Our collective cultural alignment on Winning Together will allow all M&D team members to benefit from the Company’s continued growth.”
Chris King, Principal at Gridiron Capital, added, “With a leading position across attractive geographies, world-class technicians and customer service, a reputation for excellence, and a proven M&A track record, M&D is a truly unique platform with numerous opportunities for both organic and acquisitional growth. We look forward to working alongside the entire M&D management team to fuel even more uptime for their customers.”
Benesch, Friedlander, Coplan & Aronoff LLP served as legal counsel to Gridiron. Piper Sandler & Co. served as financial advisor to M&D, and Akerman LLP served as legal counsel. Financial terms of the transaction were not disclosed.
About Gridiron Capital
Gridiron Capital is an investment firm focused on partnering with founders, entrepreneurs, and management teams and creating value by building middle-market companies into industry-leaders in branded consumer, B2B and B2C services, and niche industrial segments in the United States and Canada. They help transform growing companies by winning together through hard work, partnerships grounded in shared values, and a unique culture that comes from hands-on experience building and running businesses. As a team led by former operators and entrepreneurs, we know what it takes to run successful businesses on a day-to-day basis.
M&D is a leading value-added distributor and remanufacturer of mission critical aftermarket parts and components for maintaining and repairing diesel-powered engines based in Humble, Texas. The Company’s diverse product portfolio includes new and remanufactured cylinder head, blocks & rod, fuel injection, turbocharger, engine parts and filtration products from leading OEMs and aftermarket suppliers. It supports all diesel vehicle types, ranging from light / medium-duty vehicles, heavy-duty commercial trucks to industrial equipment. Learn more at mddistributorsstore.com.
Jon Keehner / Erik Carlson
Joele Frank, Wilkinson Brimmer Katcher
Grant Garrett | M&D
224-587-4893 | [email protected]