Generac Power Systems
Waukesha, Wisconsin
FUND
CCMP II
ORIGINAL INVESTMENT
2006
STATUS
Realized
Acquired a leading founder-owned manufacturer of standby generators and partnered with management to invest in R&D, product line extensions and expanded distribution during an economic downturn resulting in significant revenue and EBITDA growth and a successful initial public offering in 2010
CCMP invested in Generac, a leading North American manufacturer of standby power generators, in 2006. Generac manufactures standby and portable generators for residential, commercial and industrial use.
CEO Corner
Aaron Jagdfeld, President & CEO
"Partnering with CCMP enabled Generac to reach its true growth potential. CCMP supported our growth every step of the way, encouraging us to invest in R&D and product line extensions and providing valuable expertise and resources. Together we positioned Generac for an initial public offering and long term success."
Opportunity and Why CCMP
- A market leader in residential stand-by generator market with “best-in-class” product technology
- Potential to increase penetration of U.S. households
- Opportunity to increase share in industrial market by leveraging unique product technology
- Experience with industrial technology and multi-channel distribution models
Value Creation
- Invested in R&D and numerous product line extensions such as entering portable generator market during economic downturn
- Expanded distribution and enhanced “best-in-class” residential dealer network with new technology-enabled sales tools
- Recruited experienced sales and marketing team and improved pricing architecture
- Executed accretive tuck-in acquisitions
- Improved capital structure through debt repurchases"
Results
- Significant revenue and EBITDA growth during CCMP’s ownership
- Initial public offering in 2010 (NYSE: GNRC)
These endorsements are provided by certain current and former executive officers of portfolio companies that are or were previously owned by certain investment vehicles advised by CCMP Growth and CCMP Capital. None of the executive officers were directly compensated for providing these endorsements. However, as a result of the ownership structure of these portfolio companies and the controlling interest held by the funds advised by CCMP Growth and CCMP Capital, a conflict of interest exists because the executive officers have an incentive to make positive statements about CCMP Growth and/or CCMP Capital and their experiences with CCMP Growth and/or CCMP Capital to maintain the goodwill with CCMP Growth. Please refer to Terms of Use and Disclaimers for important information about CCMP Capital Advisors, LP and CCMP Growth Advisors, LP.
For illustrative purposes only. There can be no assurance any such value creation plan will ultimately be achieved as described herein. Certain statements herein reflect the subjective views and opinions of CCMP Growth and its personnel. Such statements cannot be independently verified and are subject to change.
Generac, Milacron, and Ecovyst are not part of the CCMP Growth track record, however they are included within this context due to the substantial involvement of a CCMP Growth Co-Managing Partner in these deals as a board member and/or deal team member, as well as their alignment with the overall investment strategy of CCMP Growth. Please refer to Terms of Use and Disclaimers for important information about CCMP Capital Advisors, LP and CCMP Growth Advisors, LP. A complete list of CCMP Capital Advisors, LP investments is available on its website.
