The Bottom Line: NewSpring Invests in Lawton Standard
July 18, 2023
Investment proceeds will be used to help facilitate acquisition of AMSCO Wear Products
NewSpring, a family of private equity strategies, announced today that NewSpring Mezzanine, the Firm’s dedicated private credit strategy, has invested in The Lawton Standard, Co. (“Lawton”). Wells Fargo supported the investment with senior debt financing and Oakland Standard served as independent sponsor.
Lawton Standard is a specialty iron and steel castings provider
Lawton is a diversified provider of specialty castings and related products and services with a vast amount of foundry capabilities, significant quality and safety standards, and blue-chip customer relationships across a variety of industries and end markets. The company produces castings in more than 250 different alloys and in sizes ranging up to 45,000 lbs. This breadth of capabilities allows Lawton to service a wide range of customer applications.
This investment will be used to help fund Lawton’s acquisition of AMSCO
This investment will be used to help facilitate the company’s acquisition of AMSCO Wear Products, Inc. (“AMSCO”), a distributor of specialty steel products & castings to the scrap metal, recycling, and mining industries. The AMSCO acquisition will allow Lawton to continue to bolster its distribution capabilities and further diversify the customer base and end markets served. AMSCO leverages its expertise in design, engineering & metallurgy, and proprietary relationships to deliver a complete line of mission critical wear products. The combined company will serve more than 500 unique customers and have exposure across more than 15 end markets.
“Our company prides itself on providing the highest levels of metallurgical expertise and engineering capabilities to a wide range of customers. Combined with a full suite of complementary offerings, we’ve strengthened our long-standing relationships with our growing list of large OEM and other niche customers who have come to trust our ability to meet their needs over the years. We’re thrilled to partner with NewSpring and bring the AMSCO Wear Products business into our family of companies as we continue to grow into more geographic markets and provide new products and services that move the needle for our customers.”
Lawton has a significant history of successful acquisitions and integrations
In recent years, Lawton has completed numerous acquisitions in pursuit of building a highly diversified, one-stop-shop provider of specialty castings and related products and services. The company continues to expand to meet foundry needs and now has a physical presence in seven states.
The company is led by a growth-oriented leadership team
Lawton is operated by an experienced management team with a long track record of success in the foundry industry. CEO Alex Lawton has over two decades of experience in the foundry space and has a clear vision for the company’s growth.
“With a significant foothold in a growing number of markets, Lawton Standard is well positioned to continue its rapid growth through acquisitions and product expansion. Lawton is run by the type of highly experienced, operationally focused leadership team we seek to partner with, and we look forward to working with them to elevate how best to take this business to new heights as casting services remain a critical aspect of the U.S. manufacturing industry.”