Northern Wholesale Supply (NWS) announced Jan. 21 it was purchased by private equity firm Wynnchurch Capital.
The Lino Lakes, Minnesota-based aftermarket distributor will keep business as usual, said Dean Kruchten, the company’s director of sales and marketing.
“[The transaction] really gives us an outside resource to provide business acumen and business planning. Also, the added capital to excel our growth plan,” Kruchten said. “We have done well as a company over the last decade, but this gives us the ability to set some aggressive goals and grow our business at a faster rate.”
NWS’ current management team, headed by CEO Nick Gargaro, will lead the company under the new ownership. NWS customers will see no changes to item numbers, ordering processes or invoicing.
“Truly, [Wynnchurch] is a great fit, and the reason Nick chose to move forward with this is because we share the same values,” Kruchten said. “The cornerstone of our business is lifelong relationships with our customers and suppliers. Wynnchurch has that same shared value.”
The transaction happened fairly quickly, Kruchten said. Although change can bring uncertainty, he said the organization is enthusiastic about the opportunities the ownership shift brings.
“For our customers, if anything, this gives us the ability to improve the daily services we provide and increase our value to them,” he said.
Wynnchurch manages more than $4.2 billion in committed investment capital and has invested in more than 45 companies with combined sales capping $5 billion.
Financial information about the transaction was not disclosed.
“Wynnchurch has extensive experience partnering with companies to achieve operational excellence,” NWS stated. “We look forward to working with them as we accelerate our growth plan.”