Minn. Tile & Stone Acquired in Private-Equity Deal
MINNEAPOLIS – Minnesota Tile and Stone (MTS), a family-owned and operated company since 1930, will be merged with K.G. Stevens in a private-equity deal announced on Jan. 11. No terms of the transaction were reported.
Alan Dale, former owner/president of MTS, retired upon completion of the transaction with Milwaukee-based private-equity firm Borgman Capital.
At the same time, Jason Garare, the former president of metal fabricator Super Steel LLC in Mequon, Wis., became the new president of K.G. Stevens.
“MTS and KG Stevens share a standard of quality product offerings and best-in-class customer service,” said Sequoya Borgman, founder/CEO of Borgman Capital. “These shared values, geographic proximity and immediate benefit to customers of both companies make the acquisition a win-win, as well as opportunities for future innovation.
“Under Jason’s leadership we have the technical, customer and people management skills to lead this expanded organization into is next successful phase.”
Founded in 1930 as Dale Tile, MTS operates five retail facilities in the Twin Cities metro area. The company offered specialty products such as hard-surface countertops and brick fireplaces. It increased the ability to serve the countertop market in 2010 when it bought fabricator Pollux Manufacturing Inc. in Minneapolis from Waukesha, Wis.-based Hallmark Building Supplies.
“I have been blessed with nearly 50 years involvement with MTS, a 92-year family business,” said Dale, son of company founder Bill Dale. “I started my journey in the early 1960s riding delivery trucks, unloading boxcars, and sweeping warehouse floors. I met many incredible people throughout the U.S .and Europe; several becoming mentors and taking me under their wing in my early years.
“None of this exciting and long career would have been possible without great suppliers, customers, and teammates. Thanks for the ride. MTS has a great management team and with Borgman Capital, can grow and prosper.”
Borgman Capital acquired Miwaukee-based K.G. Stevens, cited as the largest countertop fabricator in Wisconsin, last October.
Founded in 2017, Borgman Capital, retains 14 other companies in its portfolio. Its investment criteria for a company includes annual revenue of $10 million to $100 million and EBITDA between $2 million-$15 million. Current investments are Midwest-focused.
Associated Bank of Green Bay, Wis., provided senior financing for the MTS transaction, while Reinhart Boerner Van Deuren sc of Milwaukee acted as legal counsel. Sikich LLP of Napierville, Ill., performed accounting diligence and advisory services.
