Vontier Corporation, a global provider of technologies for the mobility ecosystem, has sold its Coats business to Victor Capital Partners for $72.5 million in an all-cash deal. The transaction, which closed on Jan. 8, is a strategic move for Vontier, said Mark Morelli, president and CEO.
“We continue to demonstrate progress in transforming our portfolio, sharpening our focus on delivering more intelligent and differentiated solutions to our customers, and executing on our Connected Mobility strategy.” He added that the proceeds from the sale would be used for debt reduction and share repurchases, emphasizing the company’s commitment to its strategic priorities and shareholder value.
Coats, projected to report a 2023 revenue of approximately $110 million and EBITDA of around $10 million, is known for manufacturing wheel service, alignment, lift and inspection equipment for the automotive market. The company, which operates under the Coats brand, has over 70 years of experience in the industry. Coats, headquartered in LaVergne, Tennessee, has been a part of Vontier’s “other” segment in its financial reports but will be excluded from continuing operations following the sale.
Victor Capital Partners, the acquiring firm, is a middle-market private equity firm specializing in consumer, industrial technology and business services sectors. The firm targets companies in resilient industries and focuses on businesses with high growth potential and a strong mission-driven brand, Vontier said.
