CLA provided integrated capabilities to assist Eagle through due diligence, market analysis, negotiations with the buyer, and ultimately, the ownership transfer.
CLA Wealth Advisors represented Eagle Manufacturing Company in its recent sale to Justrite Safety Group. The transaction showcases CLA’s role as a trusted advisor throughout the business sale process, and the integrated capabilities that make it possible.
West Virginia-based Eagle is a prime manufacturer of safety cans, safety cabinets, spill containment products, poly drums, and material handling products. Established in 1894, the company offers a wide range of industrial safety and material handling products that cater to customers in a variety of sectors, including construction, oil and gas, utilities, transportation, chemicals, medical, and others.
Justrite Safety Group, a portfolio company of Audax Private Equity, supplies products for the safe management of flammable liquids and other hazardous materials. Justrite is headquartered in Des Plaines, Illinois.
Several years ago, David Pieton, a principal in CLA’s Pittsburg office and a member of the firm’s investment banking group, worked with his team to provide valuation assistance to Eagle’s board of directors to aid in share transfers among Eagle shareholders. Dave remained close to the company and its president, Joe Eddy, after the valuation projects were completed.
Joe eventually reached out to Dave about a potential sale of the business, and Dave introduced CLA’s investment banking capabilities to the company and its board. Along the way to the sale, CLA Wealth Advisors assisted Eagle with an assessment of strategic alternatives, market dynamics, options regarding potential buyers, extensive due diligence, and eventually, negotiations with Audax and Justrite.
“It is incredibly rewarding to see my friends at Eagle realize a successful transition of their ownership to a highly regarded company like Justrite,” said Dave.
“The combination of these two successful, like-minded organizations should enable them to better serve customers in the industrial safety and material handling markets,” added Ben Axelrod, who leads CLA’s investment banking group.
Joe said the company will continue to sell Eagle-branded products, and that the acquisition represents an incredible growth opportunity. “This transaction preserves the long-term legacy of families that have, over the years, worked so hard to build Eagle into the premier company it is today. CLA was instrumental in helping us navigate the nuances of a sale process. Ben, Dave, and their team provided us with clear advice, explained our range of attractive options, and successfully articulated Eagle’s value proposition along the way. We came away with a great outcome not only for the shareholders, but also for Eagle’s employees and the greater community that has supported this great business for decades.”
Merger and acquisition, wealth management, and investment planning services are offered through CliftonLarsonAllen Wealth Advisors, LLC, member FINRA and SIPC.
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CLA exists to create opportunities for our clients, our people, and our communities through industry-focused wealth advisory, digital, audit, tax, consulting, and outsourcing services. With nearly 9,000 people, more than 130 U.S. locations, and a global vision, we promise to know you and help you. CLA (CliftonLarsonAllen LLP) is an independent network member of CLA Global. See CLAglobal.com/disclaimer. Investment advisory services are offered through CliftonLarsonAllen Wealth Advisors, LLC, an SEC-registered investment advisor.