Harrington Process Solutions: A Game-Changing Acquisition by Bain Capital Private Equity

Harrington Process Solutions, a leading specialty distributor of flow control process solutions, has announced its acquisition by Bain Capital Private Equity. This strategic move is set to propel Harrington's growth and solidify its position as a key player in the industry. With an impressive track record and a strong management team, Harrington is well-positioned to continue its exceptional growth trajectory under the guidance of Bain Capital.

Founded in 1959 and headquartered in Chino, California, Harrington specializes in distributing piping and other engineered fluid process products for corrosive and high-purity applications. The company's expertise extends across various technical applications, including filtration, pumps, tanks, valves, and instrumentation. With over 60 locations across the United States, Harrington serves critical industries such as semiconductors, water and wastewater management, chemicals, manufacturing, life sciences, and food and beverage processing.

Harrington's reputation as a leading supply chain partner and technical expert in the specialty distribution sector has been recognized by both vendors and customers alike. This acquisition by Bain Capital comes at an opportune time, as Harrington's end markets are benefiting from key macroeconomic trends. The partnership with Bain Capital will fuel the company's growth and enable it to continue supporting critical industrial sectors throughout the country.

Bain Capital's extensive experience in partnering with and providing resources to industrial and specialty distribution companies makes them an ideal partner for Harrington. The firm has a long history of investments in specialty distribution and is recognized as one of the most active investors in the sector globally. This partnership will leverage Bain Capital's expertise to further scale Harrington's business and meet the evolving needs of vendors, customers, and team members.

Joe Robbins, a Partner at Bain Capital, expressed his appreciation for Harrington's success and the company's differentiated technical expertise, product availability, and execution. The acquisition reflects Bain Capital's confidence in Harrington's potential for future growth and its commitment to supporting the company's leadership.

The transaction is expected to close in the fourth quarter of 2023, subject to customary closing conditions and regulatory approvals. Harrington will continue to operate as a standalone company, guided by its current management team. The necessary debt financing for the transaction is being provided by reputable institutions such as Goldman Sachs Asset Management, BMO Capital Markets, Oak Hill Advisors, and Jefferies Credit Partners.

Bain Capital has appointed Baird and BMO Capital Markets as financial advisors for the acquisition. PricewaterhouseCoopers LLP will serve as the accounting advisor, and Kirkland & Ellis LLP will provide legal counsel to Bain Capital. Harrington and Nautic Partners have enlisted the services of Jefferies and William Blair as financial advisors, CBIZ Private Equity Advisory as the accounting advisor, and McDermott Will & Emery LLP as the legal counsel.

Harrington's success over the years can be attributed to its commitment to customer service and its ability to provide expertise in fluid processing solutions. The company's distribution and fabrication of products that move fluids in corrosive and high-purity process applications have contributed to its above-industry growth. Harrington's core operating principles prioritize the value of customers, suppliers, and employees, ensuring a strong foundation for sustained success.

Bain Capital Private Equity has a rich history of partnering with management teams to provide strategic resources that help build great companies. With its team of more than 280 investment professionals and a global platform, Bain Capital creates value for its portfolio companies across various industries. The firm's investment portfolio spans healthcare, consumer/retail, financial and business services, industrials, and technology, media, and telecommunications. With offices in 23 locations worldwide, Bain Capital has made significant investments in more than 1,150 companies to date.

Nautic Partners, based in Providence, Rhode Island, is a middle-market private equity firm focused on healthcare, industrials, and services. With over 37 years of experience, Nautic Partners has completed over 155 platform transactions. The firm employs a proactive investment strategy, partnering with executives and management teams to accelerate the growth trajectory of its portfolio companies.

The acquisition of Harrington Process Solutions by Bain Capital Private Equity marks a significant milestone in both companies' journeys. This partnership will undoubtedly pave the way for continued success and growth for Harrington, ultimately benefiting its valued customers, suppliers, and employees.