Graham Partners Aims to Strike Gold with Investment in Mining Safety Company

Graham Partners has completed a majority investment in Strata Products Worldwide, a leading provider of engineered products and services that enhance both infrastructure and miner safety throughout the global coal mining industry. Strata benefits from the ever increasing regulatory requirements for safety in coal mines around the world, which drive demand for its superior products and services. Strata primarily serves underground coal mine operations utilizing the longwall extraction method, which is expected to remain the fastest growing segment of the market, taking share from the more traditional continuous miner extraction method.

An increasing number of mine disasters has garnered widespread media attention and catalyzed more stringent regulatory safety mandates. Strata offers reliable and innovative products to improve mine safety, such as roof support structures and incombustible rock dust technologies. Strata’s line of safety chambers and fresh air bays are designed to provide life support to trapped miners and its miner communication and tracking product is the first completely wireless system available to the market.

Graham Partners is a Pennsylvania-based private equity firm specializing in buyouts of middle market manufacturing companies. The firm’s strategy is to acquire industrial and manufacturing-related businesses that are benefiting from product or technology substitution trends and raw materials conversions in their industries, where Graham can utilize its extensive operating resources and industrial network to add value during its holding period.

Strata, which is headquartered in suburban Atlanta, GA, has three primary divisions: Strata Products, including secondary roof support products for underground coal mines; Strata Mine Services, providing air ventilation, seals, pumps, and construction services; and Strata Safety Products, offering safety chambers, tracking and communications devices, and equipment proximity detection products. The Company is a global leader with positions in several of the largest coal mining markets, including the United States, the United Kingdom, Australia, Poland, China, and the Czech Republic.

“There is a significant opportunity now, more than ever, to provide dependable, high quality products and equipment within the global coal mining industry,” said Chris Lawler, Managing Principal at Graham Partners. “Strata’s strong management team, history of product innovation, and established customer base provide the Company with a strong competitive advantage.”

Rory Paton-Ash, President and CEO of Strata Products Worldwide, said, “Strata is a proven leader in the coal mining industry with a reputation for innovative products and exceptional customer service. Strata has assembled an experienced management team, including many individuals who have educational and longstanding professional expertise within the mining industry. Our team’s highly developed understanding of the market has enabled us to move quickly to capture growth opportunities and develop new products. We are enthusiastic about the partnership with Graham and look to continue to deliver impressive financial performance.”

Source Capital, Ltd. served as the exclusive financial advisor to Strata and its shareholders. Terms of the transaction were not disclosed.

About Graham Partners (www.grahampartners.net): Graham Partners is a leading, lower middle market industrial private equity firm based in suburban Philadelphia with over $1.5 billion under management. Graham Partners is sponsored by the privately held Graham Group of York, Pennsylvania, an industrial and investment concern with global interests in plastics, packaging, machinery, building products and outsource manufacturing. Graham Partners seeks to acquire industrial and manufacturing-related companies with revenues between $30 million and $500 million that participate in niches where Graham can leverage its unique combination of operating resources and financial expertise to drive value creation.

FOR FURTHER INFORMATION CONTACT:

Christina Morin (cmorin@grahampartners.net)
Chris Lawler (clawler@grahampartners.net)
Josh Wilson (jwilson@grahampartners.net)
Tel: (610) 408-0500 / Fax: (610) 408-0600
www.grahampartners.net