Prophet Equity II LP Announces Equity Investment in Groff Tractor & Equipment
April 6, 2016- MECHANICSBURG, PA – Prophet Equity II LP announced today that it has partnered with Mike Savastio and Jim Price, the President and CFO of Groff Tractor & Equipment (“Groff” or the “Company”), to make an equity investment to acquire a controlling interest in Groff. Headquartered in Pennsylvania with 11 locations that serve Pennsylvania, Maryland, New Jersey, Virginia and West Virginia, Groff is one of the largest CASE Construction dealerships in the United States. With a focus on construction equipment offered by CASE Construction, Wirtgen America and other leading construction equipment manufacturers, Groff is one of the largest dealers in its regions with an emphasis on unmatched customer service.
“We have been looking to find the right strategic partner for the last few years,” said Michael Savastio, President of Groff Tractor. “When we first met the Prophet Equity team, there was an immediate cultural fit and a common vision on how to take care of customers, how to take care of employees and how to grow our business. This transaction allowed us the opportunity to take care of outside family shareholders, while also providing the financial resources to facilitate our strategic expansion opportunities. I could not be more pleased for our employees, our customers and our shareholders with the opportunity to join forces with Prophet Equity, and I am excited to get started.”
Charles Collie, Managing Director at Prophet Equity, commented, “We are honored to have the opportunity to partner with Mike Savastio, Jim Price and Groff’s talented employee base to support its strategic growth initiatives. Through its reputation for top customer service and its strategic relationships with CASE Construction, Wirtgen America and the other leading construction equipment manufacturers they represent, there are a great opportunities to grow organically, through geographic expansion and through acquisition to strengthen Groff’s market share in the Mid-Atlantic region.”
“Prophet Equity has deep experience investing in heavy equipment and equipment rental businesses,” commented Ross Gatlin, Prophet Equity’s CEO and Managing Partner. “With our strong track record of identifying and investing in companies like Groff that have unique strategic strength and significant growth opportunities, we look forward to being a strategic, operational and financial partner to the entire Groff team.”
ABOUT GROFF TRACTOR & EQUIPMENT
Founded in 1958, Groff Tractor & Equipment is a heavy equipment specialist serving a broad range of construction end-markets with an extremely flexible mix of parts, service, rentals and sales. Groff has 11 locations that serve Pennsylvania, Maryland, New Jersey, Ohio, Virginia and West Virginia with excellent OEM partnerships that include CASE Construction, Wirtgen America, Terramac, Rubble Master, Liebherr, Terex, Takeuchi, Sakai, Wacker, and Atlas Copco. For more information, visit Groff Tractor & Equipment’s website at www.grofftractor.com .
ABOUT PROPHET EQUITY
Prophet Equity is a private equity firm that uses proven, data-driven analytical techniques coupled with over 100 years of investment and management experience to invest in, unlock and realize future value today. Partnering with owners and management teams, Prophet Equity’s team utilizes a toolkit that is Fortune 500 tested and private equity proven to diagnose and drive dramatic value creation. Portfolio company management teams are highly motivated with clear, uncapped incentives based on realized business performance.
Over the last sixteen years, Prophet Equity’s Principals have invested and managed over $2.5 billion of value creation across entities with over $4 billion in revenue. Our control equity investments focus on strategically strong, lower and middle market businesses with significant value creation potential. These are typically found in partnerships, corporate carve-outs, divestitures and non-strategic business units of larger companies. Representative business situations include special situations, succession planning, recapitalizations, reorganizations, turnarounds, acquisitions, mergers and bankruptcies. For more information, please visit www.prophetequity.com or call us at +1.817.898.1500.
Edited by webmasterBack to Press Room