The Sterling Group, a middle market private equity firm, announced that its portfolio company, Dexter Axle, has completed the acquisition of AL-KO VT. The combined companies have been renamed DexKo Global Inc., creating a global leader in trailer axle and chassis supply with sales approaching nearly $1 billion.
AL-KO is Dexter’s fourth acquisition under Sterling ownership and its third corporate carve-out. Dexter completed the carve-out from the family-owned AL-KO Kober SE, which will remain a significant shareholder in DexKo Global Inc.
Headquartered in Kötz, Germany, AL-KO VT is a European designer and manufacturer of trailer axles, trailer and caravan components, chassis and motorized chassis. The company operates from more than 20 locations around the world, including in Europe, Australia, South Africa and China.
The addition of Dexter’s European counterpart will result in an even stronger organization, the company says. The two companies will be able to leverage shared resources and technology, as well as the advantages of a global footprint and significantly expanded scale. Dexter and AL-KO VT will continue to go to market under their current brands.
“The addition of AL-KO VT is transformative for Dexter, nearly doubling the company’s size and significantly expanding the company’s geographic footprint,” said Kevin Garland, partner at The Sterling Group. “We look forward to executing on the operational and strategic opportunities that exist at DexKo Global Inc.”
Fred Bentley, Dexter board member and former CEO of Maxion Wheels, has been named president and CEO of DexKo Global Inc. “I am excited by the opportunity to lead and bring together two world-class organizations. We will focus on continuing to lead with great technology and customer service and to expand our strong market leadership positions. It is truly an exciting time for this new organization and we will use our collective strengths for the benefit of all of our customers, employees, suppliers and stakeholders,” said Bentley.
Adam Dexter will continue in his current responsibilities as president and CEO of the U.S.-based Dexter.
