DETROIT – Pennsylvania-based private investment firm KGI Partners Inc. has announced the recapitalization of Electronics Remanufacturing Co. LLC (ERC), a remanufacturer of complex electronic components used in a variety of industrial applications. KGI says the investment is consistent with its remanfacturing heritage and marks the firm’s first investment as a standalone group.
 
ERC, based in Commerce Twp., Mich., a suburb of Detroit, is a differentiated remanufacturer of electronic components serving diverse industrial customers in the heavy-duty truck, hybrid vehicle, medical and wind power industries.
                                   
ERC is at the forefront of a growing business segment in the commercial vehicle electronics industry. The company’s strong management team is capable of executing on many near-term opportunities in the electronics remanufacturing industry as increasingly complex components begin to enter the out-of-warranty aftermarket, KGI noted.
 
“ERC is a great fit for us given the company’s leading market position and strong customer relationships in a fast-growing market,” said Warren Klein of KGI Partners.
 
KGI Partners joins an investor base including a group led by Jim Morrow, a past president of Detroit Diesel Corp. and the company’s current president, Russ Schinzing, a 19 year veteran of electronics remanufacturing, who led reman efforts both at CARDONE Industries and Detroit Diesel Remanufacturing - DMR.
 
Regarding the recapitalization, Morrow commented, “We are pleased to have KGI Partners join our remanufacturing team. Warren Klein brings a strong background with many years in the remanufacturing business and will be a positive catalyst for future growth.”