Louisville, KY – Prophet Equity, a Southlake, TX-based private equity firm, is pleased to announce the successful sale of Derby Fabricating Solutions (“Derby” or the “Company”), a premier manufacturer of die-cut solutions. Prophet originally acquired Derby in March of 2017 and has since experienced a successful partnership with the management team, driving significant operational improvement, profitability enhancement and meaningful earnings growth.
Headquartered in Louisville, KY, Derby has developed into a recognized industry leader known for its superior product quality and reliable, time-sensitive delivery capabilities. Prophet’s leadership drove substantial EBITDA and free cash flow expansion at Derby, facilitated mainly through a combination of strategic value creation initiatives, high-value business development efforts and disciplined manufacturing optimization.
Derby’s unwavering commitment to product excellence and customer responsiveness has made it a trusted supplier to leading OEMs and Tier 1 manufacturers across North America. During Prophet’s ownership, the Company achieved and built upon a strong reputation for delivering top-tier quality product and service amidst various challenges like automotive market volatility, program complexity or time-sensitive customer needs.
Ross Gatlin, Managing Partner at Prophet Equity, said, “Derby exemplifies the type of American manufacturing business we seek to invest in, which is, U.S.-headquartered, operationally complex, and rich with opportunities for transformational growth. We wish the Derby team all the best in their next chapter.” Charles Collie, Managing Director at Prophet Equity, added, “Through a hands-on partnership with Derby’s leadership team, we were able to unlock meaningful value across the whole enterprise while providing our customers with consistent, dependable, and high-quality service”.
Donnelly Penman & Partners served as exclusive financial advisor to Derby and Prophet Equity. Jackson Walker LLP served as legal counsel.