Over 6x Return Caps Development of
Category-Defining Company by D Cubed’s Long-Duration Investment
Fund
Transaction Supports KPS Global’s Ongoing Focus
on its Customers, Innovation and Growth
D Cubed Group (“D Cubed”), a long-duration private market
investor backed by high-net-worth business founders and executives,
today announced the sale of KPS Global (“KPSG” or “the Company”),
the leading provider of custom insulated panel systems, to the
Viessmann Generations Group (“Viessmann”), a purpose-driven family
company with a heritage of 107 years. The transaction, which
represents a return to D Cubed investors of over 6x, remains
subject to customary closing conditions and is expected to close in
the next 90 days. Financial terms of the transaction were not
disclosed.
KPS Global was created by D Cubed Group in 2015 through the
simultaneous acquisitions of Hill Phoenix’s Walk-Ins business from
Dover Corporation and Kysor Panel Systems from The Manitowoc
Company, Inc. Since then, the combined, privately held company has
been built into a world-class organization with an experienced
leadership team, as well as leading edge technology, business
intelligence, and award-winning innovations that have set the
standard for the industry. Today, KPS Global is an over $400
million revenue company and is the market leading provider of
custom insulated panel systems to companies in all areas of food
retail as well as the scientific and cold storage markets. This
transaction marks a transition after nearly a decade of significant
revenue growth, increased profitability and product expansion.
“From the beginning, we saw an opportunity to bring significant
investment, engagement, and a long-term orientation to combine two
market leaders and build a company with a singular focus,
world-class innovation and execution capabilities, and resourcing
it to grow further through proprietary offerings and diversifying
the markets it served,” said Glenn Kaufman, Managing Director of D
Cubed. “Through our investment in talent, systems, business
intelligence, and innovation, as well as our partnership with
management, KPS Global has become the clear market leader and
stands apart from competitors based on its end-to-end and fully
custom capabilities, differentiated offerings, and proven ability
to grow in multiple markets.”
Kaufman continued, “Identifying and investing into such
off-market opportunities, and then driving and supporting business
improvement and growth is exactly what D Cubed’s private-market
investment model is all about.” Adding, “The most successful
business-building generally doesn’t happen in artificial
3-to-5-year windows. It takes focus, engagement and investment. And
it takes knowing you can and will apply those things for the time
needed to drive results and returns. The 9 years of involvement
with KPS Global exemplifies our true north: disciplined business
building to create and grow great companies, which results in
outsize long-term returns.”
“I joined KPS Global because D Cubed had a clear vision and a
willingness to invest capital, effort and resources to build a
company truly beyond what ever existed in this industry,” said KPS
Global CEO Mike Eakins. “Together, we have built something special
that has differentiated KPS Global in the market that not only
delivers what our customers need today but is also continuously
developing innovative solutions they will need in the future.”
KPS Global is being sold to Viessmann, a global, broadly
diversified and purpose-driven family business for responsible
capital. “We recognize D Cubed’s tremendous accomplishment in
creating and building KPS Global to where it is. We see an
incredible opportunity to build on that and support the Company to
further extend its ongoing growth within and beyond its core
market,” shared Max Viessmann, CEO of Viessmann. “We are excited to
work together with the company’s proven management to further drive
value creation.”
“I am excited about working with another long-term oriented,
business-building partner to continue to build and grow as we have,
while maintaining our commitment to our customers, employees and
vendors,” Eakins added. “The entire leadership team looks forward
to working with Viessmann and will remain invested in the
company.”
Kaufman concluded, “Together with a great management team, who
have been partners in every sense, we accomplished our plan to
build KPS Global to operate at an entirely different level than had
previously existed in its sector, and to grow in its historical
market and markets beyond. We take tremendous pride in what has
been accomplished with this investment, in the team and in what the
Company has become. We are excited to see how the business
continues to grow over the long-term.”
KPS Global will continue to be led by its existing management
team and operate through its headquarters and a newly built
innovation center in Fort Worth and manufacture product from its
five strategically located facilities.
Baird served as lead financial advisor, Lincoln International
served as financial co-advisor, and DLA Piper served as legal
advisor to KPS Global and D Cubed Group on the transaction.
About D Cubed Group
D Cubed Group is a highly differentiated and long-duration
private-market investment firm that actively invests equity capital
in profitable, small- and mid-scale businesses operating in
specifically targeted sectors of the business services and consumer
industries. The firm is focused entirely on delivering truly
enhanced long-term risk-adjusted investment returns for its
business-oriented, high net worth investors. D Cubed focuses on the
creation of value through concentrating its investing in a limited
group of special businesses and providing all-in support and
exceptional engagement and resources to support their growth into
long-term great companies, while having flexibility in duration to
allow them to operate with a long-term orientation. For more
information on D Cubed Group, visit www.dcubedgroup.com.
About KPS Global
KPS Global is the market leading provider of end-to-end
solutions for custom enclosures for controlled environments, with
the most extensive value chain coverage across design, engineering,
installation and after-market services. Since its creation by D
Cubed Group in 2015, it has been built into the clear leader
throughout the food retail end market and expanded significantly
into the scientific and cold storage markets. The company has five
strategically located manufacturing facilities to serve customers
anywhere in the world. Headquartered in Fort Worth, Texas, KPS
Global is a privately held company with more than 850
employees.
About Viessmann Group
Founded in 1917, the independent family company Viessmann is
today a global, broadly diversified Group. All activities are based
on the company’s purpose "We co-create living spaces for
generations to come”. This is the passion and responsibility that
the large worldwide Viessmann family brings to life every day.
Viessmann forms an ecosystem of entrepreneurs and co-creators with
a clear focus on CO2 avoidance, CO2 reduction and CO2
capturing.
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version on businesswire.com: https://www.businesswire.com/news/home/20240813285994/en/
For D Cubed Group: Whit Clay wclay@sloanepr.com
917-601-6012
For KPS Global: Ashleigh Martin
ashleigh.martin@KPSGlobal.com 817-437-3965
For Viessmann: Byung-Hun Park huni@viessmann.com +49
151-64911317