Genstar Completes Sale of BBB Industries to Clearlake

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Jul 28, 2022, 07:00 ET

Genstar partnered with management to transform BBB into a global sustainable manufacturer serving automotive, industrial and renewable energy markets

SAN FRANCISCO, July 28, 2022 /PRNewswire/ -- Genstar Capital, a leading private equity firm focused on investments in targeted segments of the industrials, financial services, healthcare, and software industries, today announced that it has completed the sale of BBB Industries, LLC (BBB), a leading sustainable manufacturer of non-discretionary automotive, industrial, energy storage, and solar parts, to Clearlake Capital Group, L.P. Genstar will retain a minority ownership stake in BBB.

In 2018, Genstar acquired BBB and in partnership with management sought to expand its ESG impact from sustainable manufacturing processes solely in the automotive aftermarket into new segments to support renewable energy. Notably, the company's newest division, TerrePower, utilizes manufacturing processes that transform an original part that has lived through its first useful life into a sustainably manufactured part that has a second or even third life. Electric vehicle batteries that fail and degrade over time are now given additional life in a battery electric vehicle or in stationary storage and solar panels once destined for landfills are now sustainably manufactured and put back into use. BBB does business in 64 countries through five divisions with multiple sustainable manufacturing facilities and distribution centers located throughout North America and Europe.

Duncan Gillis, CEO of BBB, said, "We extend and improve the useful life of critical parts and at the same time prevent materials from entering the waste stream by sustainably manufacturing products for a second life. We are proud to be a carbon neutral manufacturer with a focus on reusing products to reduce waste and protect the environment while providing valuable components and service to our customers. Genstar has been a great partner over these past several years and we are pleased to continue with them given their ongoing investment in the company."

"At the time we acquired BBB, the company was already having a meaningful impact on sustainability within the automotive aftermarket, but we saw an opportunity to make that impact much broader across other segments of the economy. Our goal was to help transform the company through strategic acquisitions to expand its product portfolio, build its geographic footprint in Europe and develop BBB's sustainable manufacturing capabilities into electric vehicles and renewable energy. The company has succeeded on all fronts. ESG factors are a key consideration in all Genstar investments and we are encouraged with BBB offsetting approximately 100,000 metric tons of carbon emissions annually. We thank BBB's management team for their leadership and strategic vision over the past four years and are excited to continue as investors in the company," said Rob Rutledge, Managing Director at Genstar.

About BBB Industries

BBB Industries, LLC is an industry leader in the sustainable manufacturing of starters, alternators, hydraulic and air disc brake calipers, hydraulic and electronic power steering products, and turbochargers for the OEM, passenger, industrial, and commercial vehicle aftermarket industries. Through Industrial Metalcaucho, S.L.U., BBB also supplies the automotive aftermarket with an assortment of rubber, metal, and rubber-to-metal products across more than 64 countries. Through its newest division, TerrePower, BBB brings its sustainable manufacturing process to the electric vehicle and renewable energy sectors. Founded in 1987, BBB Industries, LLC is a private company headquartered in Daphne, Alabama. Please see www.bbbind.com for more information.

About Genstar Capital

Genstar Capital (www.gencap.com) is a leading private equity firm that has been actively investing in high quality companies for over 30 years. Based in San Francisco, Genstar works in partnership with its management teams and its network of strategic advisors to transform its portfolio companies into industry-leading businesses. Genstar currently has approximately $35 billion of assets under management and targets investments focused on targeted segments of the financial services, healthcare, industrials, and software industries.

Genstar Capital
Chris Tofalli Public Relations
Chris Tofalli
914-834-4334
[email protected]

SOURCE Genstar Capital