Argyle Capital Partners Generates a ~10x Multiple of Invested Capital and Net IRR of 75% on the Sale of Footage Tools
Toronto, April 27, 2023 /CNW/ - Argyle Capital Partners Inc. ("Argyle"), today announced that it completed the majority sale of Footage Tools Inc. ("Footage Time" or the "Company") to Huntstone Capital LP. The transaction closed in early March.
Footage Tools, headquartered in Vaughan, Ontario, is a leading manufacturer of premium tools for use in the gas, water, and underground utility markets globally. Footage produces niche products using the highest quality materials and manufacturing processes. Argyle acquired Footage in the fall of 2017, partnering with the owners in a majority buy-out.
Nigel Burbidge, former majority shareholder and president, said about the partnership with Argyle: "The team from Argyle were great partners, allowing us to do what we did best, while adding support and guidance as we continued to grow the business these past 5+ years."
At closing, including contingent payments, Argyle realized sale proceeds representing a 10x multiple of invested capital and net IRR of 75% for its investors over a five-year holding period.
"This successful outcome validates our original investment thesis around offering succession solutions to Canadian family-owned businesses in traditional industries. As with our other portfolio investments, Argyle focused on building on the strong foundation of the original founders to generate growth, enhance profitability and ultimately create a successful outcome for all stakeholders," noted Mark MacPherson, Co-Founder and Managing Partner of Argyle.
Footage was Argyle's first portfolio investment and represents its first exit since being founded in 2016.
Founded in 2016, Argyle Capital Partners is a Toronto-based private equity firm focused on partnering with family-owned businesses in the lower-middle market. Argyle traditionally focuses on old economy, industrial products businesses within service, manufacturing, and distribution, and manages a portfolio of companies with operations in Ontario, Quebec, Saskatchewan and the northern United States.
SOURCE ARGYLE CAPITAL PARTNERS
Mark MacPherson, Co-Founder & Managing Partner, 647-993-5240
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