Mason Wells Newsletter 2017 – Volume 2

• CE Power Acquires Utilities Plus Energy Services, Inc.
• Nelipak Healthcare Packaging Acquires Computer Designs, Inc.
• Derek Murphy Named Chief Financial Officer for MGS Mfg. Group, Inc.
• Mason Wells Seeks to Acquire Specialty Chemical Company

On March 31, 2017, CE Power acquired Utilities Plus Energy Services, Inc. (UPES) of Elk River, Minnesota. UPES will operate as a wholly-owned subsidiary of CE Power, a Mason Wells Buyout Fund III portfolio company. This is CE Power’s third acquisition since the Company partnered with Mason Wells in 2015.

UPES is a full-service electrical power services company. It specializes in electrical power engineering, acceptance testing, maintenance, substation construction, and unique services related to circuit breaker and transformer repairs. The management and employees of UPES, including NICET-certified technicians, have played an integral role in the company’s growth and will continue to do so going forward. The move also creates exciting new opportunities for existing clients of UPES—including turnkey project management and product solutions. With expanded engineering and technical resources in the Midwestern United States, the combination provides significant benefits for existing clients of CE Power as well.

“We are honored and excited to have Utilities Plus Energy Services join CE Power. Led by Ron Mingo, UPES has built a long-standing reputation as a premier electrical solutions provider delivering top-tier customer service in our industry. Today’s action expands our combined capability and geographic reach, continuing our growth as a premier independent electrical engineering, service, and solutions provider nationwide.” said Paul Cody, CEO of CE Power.

For more information, please visit the Company’s website at www.cepower.net.

Nelipak Corporation, a global leader in the healthcare thermoformed packaging industry, announced the acquisition of Computer Designs, Inc., a thermoforming company based in Whitehall, Pennsylvania on April 3, 2017. The business will be owned by Nelipak and operate under the name of Nelipak^® Healthcare Packaging.

Computer Designs is a manufacturer of thermoformed rigid packaging primarily for the medical market whose customers include some of the best-known medical device and pharmaceutical customers in the United States and Latin America. Computer Designs has manufacturing operations in Pennsylvania, North Carolina, Arizona, and Puerto Rico. The Company’s packaging products include trays, clamshells, and blisters. Under the Nelipak^® Healthcare Packaging brand, Computer Designs will further develop its thermoformed packaging products and service capabilities for the healthcare market. The employees and suppliers of Computer Designs have played an integral role in the Company’s success and will continue to do so in the future.

This is Nelipak’s third acquisition under Mason Wells’ ownership and strengthens Nelipak’s commitment to the North American healthcare market which will allow Nelipak to take advantage of growth opportunities in Puerto Rico, The Dominican Republic, and the broader Caribbean region. Computer Designs customers will have access to Nelipak’s award-winning design team and modern cleanroom manufacturing throughout its global locations.

For more information, please visit the Company’s website at www.nelipak.com.

MGS Mfg. Group, Inc., a Mason Wells Buyout Fund IV portfolio company, announced that Derek Murphy has joined the Company as Chief Financial Officer. MGS is a global manufacturer of injection molded plastic components, tooling, and equipment for healthcare, electronics, automotive, and other end markets.

Mr. Murphy comes to MGS with over 20 years of extensive experience in strategic, financial, and operational leadership. His experience in strategic business planning, operational improvement, and change management will be valuable to MGS where he will have overall responsibility for all financial-related activities in the Company. Mr. Murphy is a Certified Public Accountant and holds a Master’s Degree in Management and Accounting.

For more information, please visit the Company’s website at www.mgstech.com.

Mason Wells is actively seeking a platform company acquisition in the specialty chemicals sector. The company should possess some or all of the following characteristics:

• Products: coatings, adhesives, sealants, lubricants, additives, cleaners, ingredients, and composites:
  • Used in harsh environments with a high cost of failure
  • Enhance performance and comprise a small portion of the overall product cost
• End Markets: pharma/medical, food, water treatment, consumer products, packaging, and general industrial
• Small batch, asset-light business models (blending, formulation, and/or distribution)
• Branded and/or private label products (contract manufacturing considered too)
• Intellectual property through molecular, blending, and/or formulation technologies
• Recurring maintenance and repair applications
• Annual revenue greater than $50 million and headquartered in the Midwestern United States
  • Companies with less than $50 million of revenue and outside of the Midwest will be considered for follow-on acquisitions

Market trends, including the ongoing reshoring of North American manufacturing and the domestic shale gas feedstock advantage, are examples of key industry dynamics that present compelling growth opportunities for the specialty chemicals sector. Mason Wells possesses relationships with specialty chemical executives to assist these businesses to grow organically, improve profitability, and execute acquisitions.