Project Fulcrum

Business Overview
A 35-year-old industrial manufacturer and service provider specializing in heavy-duty weighing systems used in transportation, construction, and manufacturing. The business produces and services large-scale industrial and vehicle scales that are essential for the movement of bulk materials—critical to waste management, food production, and logistics operations. Operating in a recession-resistant, regulation-driven industry with high switching costs, the company combines durable manufacturing capabilities with recurring maintenance and calibration revenue across a diverse customer base.

Track Record
Operating History: Over three decades of continuous operations with a proven history of reliability and quality manufacturing.
Customer Base: Serves thousands of installations across North and South America, with over 4,000 active systems in the field and no major customer concentration.
Scale: Generates multi-million-dollar annual revenues with a strong record of consistent profitability and recurring service income.
Profitability: Maintains high margins due to specialized expertise, accreditation, and the nondiscretionary nature of its products.
Leadership Alignment: Seasoned operational managers remain with the company post-acquisition, while new management from the acquiring partners will oversee growth and modernization initiatives.

Growth Strategy
Recurring Revenue Expansion: Grow the maintenance and calibration programs to increase recurring service income and enhance valuation quality.
Sales and Marketing Optimization: Build multi-year territory-based marketing plans with dedicated sales targets to capture new project opportunities in greenfield developments.
Cross-Selling: Leverage existing customer relationships to introduce complementary service offerings, including electronic components and software integrations.
Roll-Up Potential: Execute a roll-up strategy in the fragmented industrial scale service market, targeting smaller regional competitors for acquisition.
Operational Modernization: Strengthen marketing execution, improve reporting, and pursue technological upgrades to maintain industry leadership and compliance.

Investment Overview
PE Gate investors and partners are acquiring partial ownership of this industrial manufacturing and service platform. The business offers a compelling combination of essential infrastructure products, recurring maintenance revenue, and strategic consolidation potential. The investment targets a base case IRR of approximately 25–30%, supported by organic growth, stable margins, and attractive roll-up opportunities. Investors will benefit from the firm's long-term outlook and potential liquidity options through PE Gate's secondary market or a future strategic exit.

To review the detailed Investment Memorandum and indicate interest, investors are invited to set up an account on the PE Gate platform to access full financials and transaction details.