11/28/2017 | Announcement
Ironwood Capital Announces Investment in Industrial Timber
AVON, CONNECTICUT, November 28, 2017 – Ironwood Capital is pleased to announce a subordinated debt and minority equity investment in Industrial Timber, Inc., headquartered in Hiddenite, North Carolina. Industrial Timber, Inc. is the nation’s largest designer and manufacturer of outsourced, ready-to-assemble just-in-time wooden frames to the upholstered furniture industry.
“Industrial Timber has forged long-term customer relationships with many of the premier household furniture manufacturers in the U.S.,” noted Ironwood Capital President and Chief Investment Officer Carolyn Galiette. “The company has a deep knowledge of frame design and woodworking and the ability to streamline operations for superior yields and reduced waste, providing a significant competitive advantage.”
Ironwood Capital Managing Director Alex Levental stated, “As both a leader and innovator in upholstered furniture frame engineering and manufacturing, Industrial Timber fits well within our outsourced niche manufacturing vertical. Additionally, we’re impressed with company founder and CEO, Mike Ruch and his entire management team and are confident in their ability to continue to build on their previous success.”
“Our current customers realize cost reductions of 10% to 30%, directly impacting their bottom line,” added Mike Ruch. “We have invested in a system of mill facilities that complement and support each other in the name of efficiency. This includes innovative mini mills, compact frame operations that are either near or inside our customers’ facilities. These strategic investments and strong partnerships with our customers allow us to deliver frames on a just-in-time basis, greatly reducing freight and storage expenses. With the investment from Ironwood Capital, Industrial Timber is well-positioned to significantly ramp-up sales and production volume through organic growth and strategic acquisitions.”
About Ironwood Capital
Ironwood Capital is a Connecticut-based private equity firm that provides non-control growth capital to middle market companies, investing more than $700 million in over 125 companies over the past 16 years. Ironwood invests in the form of subordinated debt and preferred stock in amounts ranging from $5 million to $20 million to support business owners and financial sponsors in growth financings, full and partial recapitalizations, generational transitions and buyouts. For more information, please visit www.ironwoodcap.com.
About Industrial Timber, Inc.
Industrial Timber, Inc. is the nation’s largest designer and manufacturer of outsourced, ready-to-assemble just-in-time wooden frames to the upholstered furniture industry. The company works with top furniture manufacturers to supply the best designed, most efficient frames available, helping them improve quality while making a positive impact on their bottom line. Industrial Timber was founded in 1999 and is based in Hiddenite, North Carolina with manufacturing facilities throughout the Southeast United States. For more information, please visit: https://thesmartplay.com/.
Contacts
Carolyn C. Galiette
President and
Chief Investment Officer
(860) 409-2105
galiette@ironwoodcap.com
Kathy Butler
Director of Marketing
and Communications
(860) 409-2117
butler@ironwoodcap.com
