Kinderhook Industries

“If you want to continue to deliver value, you have to have CEOs and waiting, so to speak, people that you trust to step in and lead the businesses you buy.”

“So we signed a purchase agreement in August of 2024 to acquire the assets of stewardship publicly announced two hundred forty five million dollars.”

“If you look, the last two funds, operating partners invested a hundred million dollars. They're paying full fees, full carry.”

“75, 70% of the time when we buy a company, we're putting in one of our operating partners as the CEO. The other 25, 30%, we're back in the incumbent management team.”

“Most everyone in the United States in the industry looked at buying this company from private equity firms to UnitedHealthcare to Molina, Humana, and they all passed. And we bought the business in 2021. We actually signed a letter of intent to acquire it in th…”

“Everybody that's a managing director today has been with the firm and started as an associate has been promoted internally. We don't bring in lateral hires. Over 21 years that we've been in business, anyone that's made vice president above has never quit the f…”

“There's a lot of ways to make money, but if you're a paperboy as an example, or you own something, you get the job done in 10 minutes and you make 20 bucks to do it in 10 minutes. If you get paid by the hour, like we were in our Teamster jobs, hardworking jobs…”

“I'd imagine if someone doesn't knock on our door in the next 24 months, we will be going to market with the asset after that time. So I'd imagine this one will end up being a three-year hold as opposed to a five-year hold.”

“We have north of a hundred million dollars of EBITDA already on the combined platform.”

“So we've been driving double digit top line growth every month, month over month since our ownership. We're at 40% combined EBITDA on the business today.”

“Our partners at Twinbrook helped us finance this deal. We've financed it inside of four turns of debt to EBITDA. We have a very flexible balance sheet. We are well capitalized at almost 50% equity capitalization across the combined platform”

“The mobile mini division was running in the mid-sixties of utilization. We bought it. The Adler division was running just about 50% utilization. Today we're at combined 67, 68%.”

“We've sold 44 of our 50 exits over 20 years have been a strategic buyers, and understanding what strategic buyers are looking for helps guide our investment thesis going into opportunities.”

“So I think we closed on the mobile mini tanks October first of 22. February first of 23, we closed on the Adler add-on acquisition. That made us the largest player by assets in the industrial waste tank business in North America.”

“We bought the business for less than seven times EBITDA.”

“We had in our back pocket the opportunity to acquire the Adler Tank business, which was their largest competitor. We knew that at the point at which we finally agreed to terms, and that made us pretty pleased with the outcome that we were able to drive.”

“What we did to get comfortable that was really a one-time phenomenon is we looked at 20 years of industrial waste tank demand, and over that twenty-year cycle, you really had one bust, and you could see the bust coming by the overinvestment in the Proceeding t…”

“They've been targeting two percent price increases and what at that point was starting to become a nine percent inflationary environment.”

“One of our operating partners was previously involved with the company, had a inkling that the public parent, Will Scott, was interested in divesting their mobile mini tank and pump division. We reached out to the CFO at the time, expressed our interest in the…”

“We've now built an investment team of over 20 that is been with us for a very long time. Average tenure of our investment team is 14 years.”