case studies
CASE STUDIES ----

CONTINENTAL STRUCTURAL PLASTICS

Continental Structural Plastics ("CSP") is a solutions-oriented manufacturer of highly engineered composites used in automotive and industrial end-products. Founded in 1919, CSP is headquartered in Troy, Michigan and employs over 2,500 in its fourteen manufacturing plants in Indiana, Ohio, Michigan, Louisiana, North Carolina, Mexico, France and China (JV). CSP is a leading supplier of engineered thermoplastic and thermoset components that are often used to displace metal components in a variety of applications. CSP works closely with its customers on application development in order to deliver cost savings, weight reduction, parts consolidation and other benefits from the use of CSP's composite solutions.

Scott Capital purchased CSP in September 2005 and has completed the following initiatives since its ownership:

  • Consolidated industry through purchases of two large competitors and multiple plants
  • Increased customer penetration through R&D strategies and application development
  • Reduced costs through facility rationalizations, increased utilization rates, and improved logistics
  • Re-engineered and revitalized existing product line
  • Increased market share during an economic downturn
  • Improved capital structure

Through these initiatives CSP has grown annual revenues from $70 million to over $550 million and continues to look for opportunities to grow.

 

 

DRIVES, LLC

Drives, LLC ("Drives"), located in Fulton, IL, is a designer and manufacturer of drive chain-based products, augers and assemblies for industrial, agricultural, construction and related applications.

In 2008, the second generation owner of Drives decided it was time to exit the business. He desired that the new owner keep the plant in Fulton, IL, and preserve the company's unique culture as well as invest in and grow the company. The owner's advisor approached Scott Capital as he recognized the fit.

Scott Capital purchased Drives in May 2008. In partnership with Drives' management, Scott Capital completed the following initiatives
during its ownership:

  • Brought in value-added, experienced board members
  • Expanded operations overseas and into a broader industry base
  • Invested in plant expansion
  • Increased market penetration
  • Developed significant cost savings initiatives

Scott Capital exited its investment in Drives in October 2011 through a sale to The Timken Company, a publicly traded NYSE company.

October 3, 2011 | Timken Completes Drives LLC Acquisition
The Timken Company (NYSE: TKR) today announced it has completed the $92 million acquisition
of Drives LLC, a leading manufacturer of highly engineered drive-chains, roller-chains and conveyor
augers for the mobile and industrial machinery sectors... read more


August 31, 2011 | Timken Agrees to Acquire Drives LLC
The Timken Company (NYSE: TKR) today announced it has completed the $92 million acquisition
of Drives LLC, a leading manufacturer of highly engineered drive-chains, roller-chains and conveyor
augers for the mobile and industrial machinery sectors... read more