NEWS

March 22, 2022

HIDDEN HARBOR CAPITAL PARTNERS COMPLETES SALE OF
CLOYES GEAR AND PRODUCTS

Fort Smith, Arkansas, March 22, 2022 – Hidden Harbor Capital Partners (“Hidden Harbor”), an operationally oriented investment firm focused on the industrials and business services sectors, is pleased to announce it completed the successful sale of Cloyes Gear and Products (“Cloyes”), a leading designer, developer, manufacturer, and distributor of timing drive systems and engine components in the automotive aftermarket, to MidOcean Partners on February 17, 2022.

 

With over 2,700 SKUs and 300 customers, Cloyes is the leading North American and global designer, developer, manufacturer, and distributor of timing drive systems and components for the automotive aftermarket. Given the mission critical nature of its products, Cloyes focuses on OEM product quality, broad aftermarket vehicle coverage, and industry leading technician support, making Cloyes the preferred brand of technicians and repair shops worldwide.

 

Hidden Harbor acquired Cloyes in 2018 as a carve-out from American Axle & Manufacturing, Inc. and in partnership with the Cloyes team, made substantial investments to build a highly scalable, stand-alone organization and develop a best-in-class platform within the automotive aftermarket industry. Over Hidden Harbor’s ownership period, Cloyes grew VIO coverage, captured considerable sourcing savings and drove significant organic growth through new product introductions and new customer wins.

 

Stifel, Nicolaus & Company, Inc. served as lead financial advisor with Donnelly Penman & Partners serving as co-advisor, and McDermott Will & Emery acted as legal advisor to Cloyes and Hidden Harbor in connection with the sale. MidOcean Partners’ legal advisor was Gibson Dunn & Crutcher LLP. Financial terms of the transaction were not disclosed.

 

About Cloyes

Cloyes, based in Fort Smith, Ark., and founded in 1921, is the North American leader and global designer, developer, manufacturer, and distributor of timing drive systems and components for the automotive aftermarket. Its products are mission critical components for engine performance and function and are used in high-performance and replacement applications. Cloyes serves a broad customer base, including wholesale distributors, national and local retailers, re-packagers, and production engine rebuilders, and sells its products under the Cloyes® brand worldwide and the Dynagear® and CY-LENT® brands throughout North America. https://www.cloyes.com/

 

About Hidden Harbor Capital Partners

Hidden Harbor Capital Partners is a private equity firm which helps create business success stories by building teams focused on execution.  We believe that great companies are built on a strong group of people as their foundation, and that businesses succeed when they are intensely focused on executing a small set of well-defined objectives.  Hidden Harbor currently manages over $700 million of equity capital and is investing out of its second fund, a $450 million vehicle.  To learn more, visit www.hh-cp.com and our page on LinkedIn.

 

 

###

 

Media Contact

Julia Bennett: (904) 534-4468 / jbennett@hh-cp.com