Metal Systems, Inc. is one of the largest privately-owned manufacturers of equipment centers that house switchgear and control equipment used by various end-users in electrical distribution, power generation and numerous other industries. The Company’s customers primarily include large original equipment manufacturers of switchgear, control and drive systems, such as Square D Company (a division of Schneider Electric SA), General Electric Company, Siemens AG, ABB, Ltd. and Cutler-Hammer (part of Eaton Corporation). Since its founding in 1968, the Company has designed, fabricated and delivered over 5,000 custom structures. Metal Systems is headquartered in Chattanooga, TN with a second production facility in Houston, TX, providing strategic accessibility to the Midwest, Northeast, Southeast and Southwest U.S. while serving the entire U.S., Canada and the Caribbean.
Having grown the company significantly in recent years through both acquisition and the broadening of the management team, the shareholders of Metal Systems were seeking a transaction that would allow for both ownership transition as well as new ownership that would continue a growth and acquisition strategy.
Harpeth Capital conducted a competitive process to identify interest from both potential strategic buyers and the private equity community. Indications of interest were received from eight parties, with valuations exceeding the high-end of the shareholders’ expectations.