About the Company:
Founded in 1945, Tarter Farm and Ranch Equipment (“Tarter”) is a fourth-generation, family-owned business based in Dunnville, Kentucky. Tarter is one of the largest manufactures in North America of animal gates and fencing solutions, tractor implements, planters and fire rings, and animal feeding and handling equipment for ranchers, large institutional farms and smaller farming enthusiasts. The Company has evolved from a manufacturer of wooden gates serving the Bluegrass region to a nationally recognized brand selling products through retail channels and serving as a supplier to ranch and farm equipment OEMs. Tarter operates out of ~1.1 million square feet of production facility space in two Kentucky communities and a manufacturing and distribution center in Corinne, Utah.
Sell-Side Mandate:
Tarter has been owned and operated by the fourth-generation of the Tarter Family since the early 2000s and started to bring in outside management to run the day-to-day operations beginning in 2018. The Tarter family contacted The Lenox Group to advise on potential liquidity alternatives available to the Company to realize the value of the business, while also finding the right partner to take Tarter into its next phase of growth. Lenox worked with the Company to undertake a quality of earnings, develop marketing materials to position the business for sale, create an extensive list of potential investors, and ultimately market the transaction. Through Lenox’s auction process, the family was presented a variety of offers to partner with a private equity group. Lenox helped the Company organize and administer management presentations, negotiate with groups invited to final bids, select a winning bidder, orchestrate the due diligence process, and negotiate with interested firms and parties.
Outcome:
The Lenox Group successfully assisted Tarter Farm and Ranch Equipment on its sale to Platinum Equity. Tarter will represent a new platform for Platinum Equity. Founded in 1995 by Tom Gores, Platinum Equity is a global investment firm with ~$36 billion of assets under management. The Tarter family rolled equity in the transaction and its management team will stay in place to partner with Platinum Equity to elevate the Company to the next level.