Monomoy Capital Partners, a middle-market private investment firm focused on operational value creation, announced the sale of its portfolio company, Construction Resources Holdings, LLC (“CR”) to International Designs Group LLC (“IDG”), a portfolio company of Mill Point Capital. Terms of the transaction were not disclosed.
Construction Resources is the market-leading distributor of value-added building products in the Southeast. An award-winning provider of surfaces, appliances and architectural specialty products, Construction Resources offers an array of high-quality proprietary and sought-after blue-chip brands for builders and homeowners. The company is headquartered in Atlanta, Georgia, with showrooms, surface galleries and design centers located regionally.
Monomoy initially acquired Constructions Resources and Builder Specialties to create the CR platform. Merging two family-owned and operated businesses that strategically fit together, the new platform sought to capitalize on the attractiveness of the building products industry in the Southeast. In 2019, CR acquired United Materials, Inc. helping it expand its product and geographic reach.
Under Monomoy ownership, CR implemented wide-ranging value creation programs to drive earnings growth, improve the cash conversion cycle of the company and position the business as the leading provider and distributor of specialty building products in its core geographies.
Lee Mlotek, Managing Director at Monomoy, commented, “The evolution of Construction Resources under our partnership has been remarkable. We are exceptionally proud of the management team and their accomplishments. The team was resilient and persistent throughout our ownership.”
“The Monomoy investment and operating teams have been critical to the success of CR over the years,” commented Mitch Hires, CEO of Construction Resources. “Their strategic and operational expertise helped us navigate challenges and focus the business on our core and profitable divisions. Their vision for scaling the business through M&A, along with the resources they provided to build not only the best reporting and controls—but to expand our leadership talent—has positioned us for continued success in the future.”
Justin Kish and Adam Reeder of Rothschild & Co. served as financial advisors to Construction Resources with respect to the transaction; Scott Molinaro of Lincoln International LLC advised the Board of Managers of Construction Resources; Scott Abramowitz of Ropes & Gray LLP served as legal counsel to the company.
About Monomoy
Monomoy Capital Partners is a private investment firm with over $2.7 billion in assets under management. Monomoy invests in the equity and debt of middle-market businesses that can benefit from operational and financial improvement with a focus on industrial and consumer product sectors in North America and Europe. Please see our website at www.mcpfunds.com for further information concerning Monomoy and its portfolio companies.
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Contacts
MiddleM Creative, on behalf of Monomoy
Allie Gamble, Vice President
allie@middlemcreative.com | 704.280.1432
