Cathay Capital Wins the 2018 Americas Private Equity Deal of the Year Award
May 4, 2020
North America
New York, December 12, 2018 – Cathay Capital Private Equity (“Cathay”) is pleased to announce that the M&A Atlas Awards honored Cathay with the ‘2018 Americas Private Equity Deal of the Year’ in the Americas Private Equity Deal / Small-Middle Market category for Cathay’s recapitalization of Innovative Office Products (www.innovativeworkspaces.com) (“Innovative”) in January 2018. Innovative is an award-winning, North American designer and manufacturer of office and workspace ergonomic and related products including monitor arms, sit-stand workstations, multi-monitor mounts and desk stands, point-of-sale mounts and healthcare and specialty original equipment manufacturer mounting solutions. Cathay partnered with management, Norwest Mezzanine Partners (“Norwest” or “NMP”) and ORIX Mezzanine & Private Equity (“ORIX”) in its investment consortium.
Cathay’s value creation strategy focuses on organic growth initiatives, strategic M&A and its unique cross-border strategy that provides access for its North American portfolio companies to resources and networks in China and Europe to establish sales relationships, improve operating and sourcing capabilities, and to enhance the strategic capabilities of portfolio companies in key global markets. Cathay has sponsored Innovative’s management team in executing this value creation strategy, including Innovative’s June 2018 acquisition of HAT Contract (“HAT”) (www.hatcontract.com). HAT is a San Jose, CA-based, leading North American designer, contract manufacturer and distributor of office open space products including height adjustable tables, power/data beams, drawer pedestals, dividers, work surfaces and electrical components for benching and bases. Cathay and Innovative partnered with HAT’s Founders in the transaction, who also become shareholders of Innovative. Additionally, Innovative recently opened an office in Shanghai, China, to support the large and growing ergonomic office products market in China.
“Cathay is very proud to have led the Innovative deal, which is an example of Cathay’s pioneering investment strategy applied to an outstanding PA-based company. We are fortunate to have great partners in our equity group, lender group and management team at Innovative and at HAT,” stated Mark Woods, Partner and Head of North American Private Equity at Cathay Capital. “Innovative / HAT is an exceptional ergonomic and office products company experiencing significant growth, and Cathay is focused on being helpful in facilitating its global transformation,” said Mingpo Cai, Co-Founder and President of Cathay Capital.
“We are delighted to honor the achievements of the M&A Atlas Award winners who exhibited great vision and excellence in executing transactions in a fiercely competitive marketplace. We wish all the winners and nominees continued success in the year ahead.” Shanta Kumari, CEO and Global Group Editor at Global M&A Network, who hosted the M&A Atlas Awards.
Cleary Gull Inc. acted as exclusive financial advisor to IOP Holdings, LLC in the Innovative transaction, and was also recognized as ‘Outstanding U.S.A M&A Boutique Investment Bank’ by the 2018 M&A Atlas Awards. TCF Capital Funding and Webster Bank are senior lenders to Innovative.