AUSTIN, TX – Blue Sage Capital, a leading lower-middle market private equity firm, today announced the final close of Blue Sage Capital IV, L.P. (the “Fund”), at $618 million including a substantial commitment from the General Partner. The Fund was significantly oversubscribed, closing above its initial target of $400 million, initial hard cap of $550 million, and more than double its $300 million prior fund size. Blue Sage limited the size of the Fund to maintain its lower-middle market focus and could not fully accommodate a substantial amount of Limited Partner interest generated in only months of fundraising. Blue Sage is backed by a global group of Limited Partners including well-known college/university endowments, charitable foundations, pension funds, large family offices, insurance companies, and entrepreneurial individuals. Many of the Limited Partners have now partnered with Blue Sage across multiple prior funds, some going back to the firm’s founding almost 25 years ago.

The Fund continues Blue Sage’s strategy of partnering with founders, families, and management teams in high-potential lower-middle market businesses. As with prior Blue Sage funds, Fund IV focuses on investment partnerships with environmental solutions, niche manufacturing, and specialty services companies in North America, particularly in Texas, the Southwest, and the Midwest. Blue Sage strongly prefers to be the first institutional investor in the companies with which it partners.

AUSTIN, TX – All-State Industries, Inc. (“All-State”), a Des Moines, IA-based portfolio company of Blue Sage Capital (“Blue Sage”), is pleased to announce its acquisition of United Gasket Corp. (“United Gasket”). United Gasket is a leading manufacturer of custom non-metallic components, including adhesive-backed gaskets, felts, and other flexible parts. United Gasket and its subsidiary, Gaskoa, Inc., have a long-tenured history serving a diverse range of industries, including electronics, rail, non-engine auto, HVAC, pumps and lighting.

“We are very excited to welcome United Gasket into the All-State family, as Mark and team have built an exceptional business that is poised for continued growth,” said Scott Pulver, CEO of All-State. “With the addition of United, All-State will now have a broadly diversified die cut operation with the ability to handle the full spectrum of size, volume, and material types that allow us to better service our existing customer base and pursue growth in new, untapped markets.”

Mark Pahios, CEO of United Gasket noted, “All-State is the exact partner that we were looking for. We take great pride in servicing our customers and this partnership will allow us to provide even more value through the full range of All-State’s nonmetallic solutions.” Mark Pahios will continue to lead the United Gasket division as part of the All-State platform.

AUSTIN, TX - Baker Manufacturing Company, LLC (“Baker”), an Evansville, WI-based portfolio company of Blue Sage Capital (“Blue Sage”), is pleased to announce its acquisition of the Pump Division of A.Y. McDonald Mfg. Co (“A.Y. McDonald”). The acquisition will include A.Y. McDonald’s full pump product line, which includes its comprehensive portfolio of submersible pumps, booster pumps, jets, sump pumps, and pressure tanks for the residential and agricultural markets.

The transaction marks the first acquisition Baker has completed since partnering with Blue Sage in July 2022 and will serve to expand Baker’s Water Systems product offerings and market coverage.

"We are thrilled to bring A.Y. McDonald’s Pump Division into the Baker family,” said Don Wesdell, CEO and President of Baker. “A.Y. McDonald’s rich history and strong reputation in the industry will be a cornerstone of this transition, and we are committed to maximizing the legacy of their pump products while continuing to meet the needs of our valued customers.”

“This acquisition is a tremendous opportunity for Baker Manufacturing while allowing us to further enhance our focus on the water works, natural gas, and plumbing industries,” said Rob McDonald, CEO of A.Y. McDonald. “Baker Manufacturing is a trusted source with deep expertise in this market, and we are confident that they will continue to grow and enhance this pump division with the same dedication and quality our customers have come to expect.”

Mergers & Acquisitions magazine has recognized Blue Sage Capital as an Honorable Mention on its 2024 list of the best places to work in private equity.

The Association for Corporate Growth (“ACG”) Austin/San Antonio chapter awarded its 2024 Deal of the Year to Blue Sage Capital for its sale of Frontier Waste Solutions. The award recognizes economic and corporate growth, strategic impact, and capital formation in Central Texas.

AUSTIN, TEXAS – Blue Sage Capital (“Blue Sage”) is pleased to announce its recent investment in MHW, Ltd. (“MHW” or the “Company”). With over 30 years in its current form and ~90 years in the industry, we believe MHW has built a strong reputation as the leading outsourced licensed importation, distribution, compliance and logistics fulfillment service provider in the beverage alcohol industry (i.e., spirits, wine, and beer). Through its tech-enabled platform and mission-critical services, MHW helps its clients – growing beverage alcohol producers, including newly emerging, foreign, and domestic brand owners and brand agents – navigate the complex regulatory and compliance landscape in the United States and abroad. MHW allows emerging and established alcohol producers to access markets more efficiently and cost-effectively, while allowing producers to direct resources to formulation, branding, and sales & marketing.

MHW CEO Ryan O’Hara commented, “We are excited to enter the next chapter of the MHW story alongside Blue Sage as we seek to continue the Company’s track record of growth. We pride ourselves on delivering the highest level of service to our clients, and we look forward to making additional investments in our team and enhancing our service offering to support our clients better.”