A corporate carve-out is when a company separates and sells or lists part of its business as a standalone unit, while the original owner often keeps some stake. For investors it matters because the split can unlock hidden value, change future cash flows and risks, and create a clearer story about each business — like buying the coffee counter that used to be part of a big bakery so you can judge its worth and prospects on its own.
regulatory approvalsregulatory
Regulatory approvals are official permissions from government agencies that a company needs before launching a new product, service, or business activity. They matter because without this approval, the company might not be allowed to operate legally or sell its products, similar to how a driver needs a license to legally drive a car.
ROSEMONT, Ill.--(BUSINESS WIRE)--
Wynnchurch Capital, L.P. (“Wynnchurch”), a leading middle-market private equity firm, today announced that it has signed a definitive agreement to acquire Arcosa Marine Products, Inc. (“Arcosa Marine” or the “Company”) from Arcosa, Inc. (NYSE: ACA). The transaction represents a corporate carve-out of Arcosa, Inc.’s marine products business and will establish Arcosa Marine as an independent, standalone platform under Wynnchurch ownership.
Headquartered in Covington, Louisiana, Arcosa Marine is a leading manufacturer of hopper barges, tank barges, fiberglass covers, and marine components serving the inland waterway transportation market. The Company serves a diversified customer base moving dry agricultural goods, aggregates, petroleum products, and other bulk cargo throughout the Upper and Lower Mississippi and Ohio River systems. Arcosa Marine operates six strategically located manufacturing facilities across the inland waterway system.
Greg Gleason, Managing Partner at Wynnchurch, said, “Arcosa Marine is a leading barge manufacturer with strong fundamentals, attractive end markets, and a long-standing reputation for quality and safety. As a standalone business, we believe the Company will benefit from a dedicated strategic focus and enhanced operational flexibility. This investment highlights Wynnchurch’s capability in executing complex carve-outs and partnering with industrial businesses to drive operational improvement and long-term growth.”
Mike MacKay, Principal at Wynnchurch, added, “Arcosa Marine operates in a critical segment of the U.S. transportation infrastructure with favorable long-term demand drivers. We see meaningful opportunities to invest in the Company’s operations and pursue both organic and strategic growth initiatives. We look forward to working closely with management to accelerate these value creation opportunities.”
The transaction is subject to customary closing conditions, including the receipt of applicable regulatory approvals, and is expected to close in the coming months.
Paul Hastings served as legal advisor to Wynnchurch in connection with the transaction. Wells Fargo served as financial advisor and Gibson, Dunn & Crutcher LLP served as legal advisor to Arcosa, Inc.
About Arcosa Marine:
Arcosa Marine is a manufacturer of hopper barges, tank barges, fiberglass covers, and marine components serving the inland waterway freight transportation market. The Company serves a diversified customer base moving dry agricultural goods, aggregates, petroleum products, and other bulk cargo throughout the Upper and Lower Mississippi and Ohio River systems. Arcosa Marine operates six strategically located manufacturing facilities across the inland waterway system.
About Wynnchurch Capital:
Wynnchurch Capital, L.P., headquartered in the Chicago suburb of Rosemont, Illinois, with an affiliate in Canada, was founded in 1999 and is a leading middle-market private equity investment firm. Wynnchurch’s strategy is to partner with middle market companies in the United States and Canada that possess the potential for substantial growth and profit improvement.
Wynnchurch manages a number of private equity funds with $8.6 billion of regulatory assets under management and specializes in recapitalizations, growth capital, management buyouts, corporate carve-outs, and restructurings. Recently, Wynnchurch acquired Charter Industries, a leading provider of edgebanding and complementary products. Other recent investments include: Astro Shapes, a leading manufacturer of custom aluminum extrusions; Principal Industries, a leading provider of LED components and engineered assemblies; and ORS Nasco, North America’s largest pure wholesaler of industrial MRO supplies. For more information, please visit: https://www.wynnchurch.com or follow us on LinkedIn.
