A partnership led by CCMP Capital Advisors, LP and MSD Partners, LP, and including Alberta Investment Management Corporation, has entered into a definitive agreement to acquire Elizabeth-based Hayward Industries, Inc.
Founded in 1925, Hayward is a global market leader in the residential and commercial swimming pool equipment industry with the most recognized brand and largest installed base in North America. Under the Davis family leadership for more than 50 years, Hayward has grown through organic development and strategic acquisitions to expand its product offering to include a complete line of pumps, filters, heaters, cleaners, sanitizers, IoT driven automation and controls, lighting and accessories, and has built its global footprint through acquisitions in North America, Canada, Europe and Australia. Driven by its superior engineering and manufacturing capabilities, customer relationships and successful acquisition integration, Hayward has achieved an average annual growth rate above 10 percent since the Davis family initially purchased control of the business in 1964.
“I am extremely proud of the accomplishments realized by our team in positioning Hayward as a leading provider of pool equipment throughout the world. As I approach retirement, I am very confident this next generation of ownership will carry on the Hayward tradition and that our legacy is in excellent hands,” said Robert Davis, Co- Chairman of the Board of Hayward. Clark Hale, President and CEO of Hayward added, “Hayward and its employees are forever grateful for the vision and leadership that Oscar and Robert Davis have provided. We now look forward to partnering with CCMP and MSD Partners to continue our investments in product innovation, geographic expansion, and synergistic acquisitions.”
“We are thrilled to partner with Clark and his team to acquire Hayward, which has built an outstanding leadership position and brand loyalty in the pool equipment market. Through two generations of Davis family leadership, the Company has grown from a regional pool equipment supplier to a global leader with a track record of product innovation and world class supply chain and manufacturing capabilities,” said Mark McFadden, a Managing Director at CCMP. “We look forward to working with Clark and his highly talented team to build on the company’s outstanding record of growth.”
“We are delighted to have the opportunity to partner with Hayward’s management, in this seminal event in the Company’s distinguished history, and we are pleased to be trusted with the stewardship of the business in the next chapter of its evolution,” said Kevin Brown, a Managing Director in the Private Capital Group at MSD Partners. “Hayward is a perfect fit with MSD Private Capital Group’s strategy of investing in companies that can deliver stability and growth over the long term, and we look forward to supporting its continued growth.”
Recent acquisitions by Hayward Industries include Poolvergnuegen, a suction cleaner manufacturer in the United States, as well as Kripsol, a Spanish based manufacturer of residential and commercial pumps and filters, and Sugar Valley, a Spanish based manufacturer of intelligent automation systems, water chemistry and sanitization products.
In recent years, Hayward has introduced category leading products such as the OmniLogic® pool control system, TriStar® variable speed pumps which are rated highest in energy efficiency by the US EPA, V-Flex pool cleaners, and HCP 3000 Series commercial pumps. The transaction is expected to close in the third quarter of 2017, subject to customary closing conditions. Goldman Sachs is serving as financial advisor to Hayward and McCarter & English, LLP is acting as legal counsel.Related Articles: