Contact Information: For Gichner Systems Group: Scott D. Sarine Vice President of Marketing and Sales 717-246-5479 For Altus Capital Partners: Rosalia Scampoli 212-537-5177 For News Media: Deborah Lewis 717-246-5453
Gichner Acquires Charleston Marine Containers, Inc.
| Source: Gichner Systems Group, Inc.
DALLASTOWN, PA--(Marketwire - October 6, 2008) - Gichner
Systems Group, Inc. ("Gichner"), the leading supplier of tactical
military shelters to the US Armed Forces, announced today that it has
acquired Charleston Marine Containers, Inc. ("CMCI"), located in
Charleston, South Carolina. CMCI is the leading domestic manufacturer of
intermodal, modular intermodal, and specialty container systems for the US
Armed Forces.
CMCI's products are in use worldwide and include numerous patented
containers and container systems including the Quadcon, Tricon, Bicon,
Tricold® and Quadcold containers. The operations of CMCI are to remain
based in Charleston, and the company will continue to operate and trade
using the CMCI name.
Altus Capital Partners LLC and Dunrath Capital, Inc., along with Gichner
management and other investors, provided the equity for the acquisition.
Altus Capital and Dunrath Capital, as co-equity investors with Gichner
management, acquired Gichner in August 2007.
Commenting on the acquisition, Thomas E. Mills IV, Gichner President and
CEO, stated, "The acquisition of CMCI is a key element of Gichner's growth
plan. The employees and operations in Charleston are impressive. CMCI
provides new products and new markets for Gichner, in addition to over
240,000 square feet of additional manufacturing capacity, bringing
Gichner's total manufacturing capacity to over 600,000 square feet. With
the addition of CMCI, Gichner's total annual revenues are approaching $100
million with funded contract backlog of approximately $70 million.
Together with the additional talent of the CMCI employees, Gichner and CMCI
should continue to increase sales in both businesses."
Mr. Mills continued, "The vast majority of the acquisition is being funded
with equity, which should provide Gichner and CMCI with the financing
required to generate increased sales. CMCI's customers will continue to
enjoy high-quality products delivered in a timely manner and on schedule by
CMCI's highly skilled and dedicated Charleston-based production and
management teams. Customers should continue to contact their appropriate
CMCI representative."
Elizabeth Burgess, a senior partner of Altus Capital Partners, Inc., said,
"This acquisition demonstrates Altus Capital's commitment to helping
Gichner and our other portfolio companies make strategic acquisitions that
expand market share and create operating efficiencies, even during
difficult financing periods. Altus Capital helped both to initiate this
important transaction as well as to provide the majority of the capital
required."
Steve Beitler, senior managing director of Dunrath Capital and a retired
Army officer, said, "The combination of Gichner and CMCI provides
significant potential for innovation in the field of military
containerization. We expect many new products to evolve as a result of the
combined research and engineering talent of the newly merged companies."
About Gichner Systems Group
Gichner Systems Group is a leader in the development of solutions for the
transport and protection of mobile electronic systems. Gichner products
protect military personnel and electronic and other systems from the
environment during transport and operation in some of the world's harshest
environments. Gichner Shelter Systems provides turn-key systems that are
"rack ready" for the installation of its customers' electronic systems and
service, maintenance, reset and repair of existing shelter systems. The
Commercial and Emergency Mobile Systems division designs and manufactures
specialized commercial products including high end truck bodies, fire
safety trainers, mobile command posts and first responder systems for use
by commercial, municipal and homeland security customers. For more
information about Gichner Systems Group, call us at 717-246-5453 or visit
us at www.gichner.us.
About Altus Capital Partners LLC
Based in Westport, CT, Altus Capital Partners is a private equity firm that
creates value by purchasing and growing profitable small to middle market
manufacturing businesses with unrealized potential. Altus is led by a
proven, seasoned deal-making team of high integrity that invests alongside
management to help seize current growth opportunities through due diligence
and leadership in long-term strategic thinking. With over 50 years of
investment experience, the Altus team utilizes its extensive knowledge of
the private equity cycle to optimize company value through structured buyouts,
recapitalizations, consolidations and divestitures. Altus' investment
strategy builds businesses, fosters company loyalty and provides jobs.
Website: www.altuscapitalpartners.com.
About Dunrath Capital, Inc.
Based in Chicago, Dunrath Capital is a private equity firm that leverages
the partnership's collective experiences in private equity investing,
operations, government and entrepreneurship in combination with a
pro-active, research-based investment strategy to create value for its
portfolio companies and investors. While the Dunrath partnership has
investment experience and a portfolio ranging from commercializations to
leveraged buyouts, the firm has a focus on growth stage or earlier
companies. The firm's current targeted investment sectors include safety,
security, and defense. Website: www.dunrath.com.