NEW YORK – AUGUST 13, 2019 – One Equity Partners, a middle market private equity firm, today announced that its portfolio company USCO SpA (“USCO”), a leading supplier of aftermarket and OEM parts to the global earthmoving machinery industry, has agreed to acquire a 75% stake in Strickland Tracks Ltd. Financial (“Strickland”). Additional terms of the private transaction were not disclosed.
Headquartered in Birmingham, U.K., Strickland is one of the largest independent designers and assemblers of undercarriage frames in the world. Founded in 1945, Strickland operates plants in the U.K., China and India that design and assemble vehicle frames for a wide range of end markets including recycling, infrastructure, construction, forestry and mining.
“For us, Strickland represents a significant opportunity to enter the OEM segment of the assembly frame for medium-low weight machines as well as to increase our presence in the UK market and to acquire potential fast-growing businesses in China and India,” said Massimo Galassini, Executive Chairman of USCO. “We are excited to work with the O’Neill Family and their team to enhance the development of our global footprint as well as the consolidation of the USCO Group position as an industry-recognized leader in the earth-moving machine components market.”
USCO manufactures and distributes an extensive range of undercarriage, ground engaging tools, and repair parts for construction earthmoving machines through its global brand, ITR. With manufacturing centers in Italy, Spain, South Korea, and China, and 40 distribution and service centers in North America, South America, Africa, the Middle East, Europe and Asia, USCO employs over 1,500 employees worldwide.
“USCO’s newest acquisition aligns with OEP’s strategy of partnering with exceptional middle market managers to build market leaders through combinations,” said Steve Lunau, Director, OEP. “The addition of Strickland to USCO’s portfolio enhances the Company’s ability to deliver high quality undercarriage, frames, and related parts to new geographic regions and brings additional opportunities to cross-sell products to the expanded customer base.”
The transaction is expected to close in October.
About One Equity Partners
OEP is a middle-market private equity firm focused on the industrial, healthcare, and technology sectors in North America and Europe. The firm builds market-leading companies by identifying and executing transformative business combinations. OEP is a trusted partner with a differentiated investment process, a broad and senior team, and an established track record generating long-term value for its partners. Since 2001, the firm has completed more than 180 transactions worldwide. OEP, founded in 2001, spun out of JP Morgan in 2015. The firm has offices in New York, Chicago, and Frankfurt. For more information, please visit www.oneequity.com.
USCO was founded in 1989 and is headquartered in Modena, Italy. The USCO Group, with world-wide distribution, high quality engineering and vertically integrated manufacturing capabilities, is a global leader in earthmoving machine components. USCO, through its world-wide recognized brands ITR, BYG and Futura, manufactures and distributes an extensive range of undercarriage, ground engaging tools, and repair parts. The USCO Group employs over 1,500 employees, and maintains six manufacturing centers in Italy, Spain, South Korea, and China, and 40 distribution and service centers located throughout North America, South America, Africa, Middle East, Europe, Asia and Australia.
Established in 1945, originally to repair and service agricultural and construction equipment, Strickland has developed from a specialist service center to a manufacturing unit and onwards to the Strickland of today; with the capability to design and engineer a solution to meet your needs in a modern, forward thinking environment. Strickland remains an engineering company at heart, with a huge wealth of experience, not only in tracked undercarriages, but throughout the industries they supply. Strickland has established strategic bases in the USA and Asia. First in Virginia in 2012, quickly followed in 2013 by Wuxi Strickland Tracks in China. Its Indian base was established in 2015 completing the current quartet. Today Strickland is expanding into new applications, adapting quickly to engineer a solution for any tracked undercarriage requirement utilizing lean principles and an advancing Business Management System.
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