UHY Corporate Finance served as the investment banker on a $427 million strategic transaction that earned recognition from two prominent business publications both locally and nationally. The sale of Fori Automation to Lincoln Electric closed on December 1, 2022 and was recognized as the deal of the year in the industrial and automation category by Mergers & Acquisitions Magazine, and one of the 20 largest deals of 2022 by Crain’s Detroit Business.
M&A Magazine described it as “the gold standard of the middle market” and Mike Beck, former President of Fori Automation had this to say of the UHY Corporate Finance Team:
“UHY's strong leadership was essential throughout the highly-negotiated transaction with Lincoln Electric. They provided critical guidance, managing the team through every step of the process and bringing creative solutions to complex issues. It was important for Fori to find a U.S. buyer with a Midwestern culture that was committed to future investments, and they were instrumental in achieving this goal. A differentiator for UHY is clearly their commitment to achieving the desired outcome for our shareholders and employees.”
The acquisition accelerates Lincoln Electric’s goal of achieving $1 billion in automation sales by 2025 with the addition of new and innovative automated capabilities including large-scale assembly, automated material handling solutions, and end of line testing systems and entering the automotive sector. The acquisition positions them to capitalize on opportunities with accelerating investments in automotive electric vehicle platforms and cross-selling growth for Lincoln’s industrial customers. It also expands Lincoln’s automation footprint in South Korea and India and its existing presence in Europe, China, and Latin America.
As the largest transaction Lincoln has made to date, leadership committed a myriad of resources to the deal. Working opposite a much larger diligence team from Lincoln, inbound requests were countless, timelines were tested, and the team had to overcome the challenges of selling a closely held, family-owned business to a large public company. UHY Corporate Finance navigated an already complex deal environment while also facing the implications of rising interest rates and a declining market.
UHY Corporate Finance is a full-service investment bank that provides a range of services to entrepreneurs, privately held businesses, and investors active in the middle market. Our proven capabilities consistently deliver the most desired outcomes for clients. We look forward to continuing to work with clients in the industrial automation industry and beyond to help them achieve their strategic objectives.
Reach out to our corporate finance team