PPC Advises R+D Custom Automation on Strategic Transaction with Krones AG

Promontory Point Capital is excited to announce another one of our firm's recent client successes.

R+D Custom Automation (“R+D”) designs, engineers, and builds custom automation equipment primarily for the life sciences and pharmaceutical industries. As a full-service system integrator and specialized equipment manufacturer, R+D has been providing custom engineering solutions to the life sciences industry for over 40 years. The Company's expertise encompassing complex filling and packaging applications for the pharmaceutical industry allowed R+D to play a key role during Operation Warp Speed.

As R+D's ownership group contemplated the business's next phase of growth, Promontory Point Capital was engaged to explore growth and strategic alternatives. Working with R+D's shareholders and leadership team, PPC researched a global strategic and financial audience to identify potential partners that would align with R+D's culture, engineering capabilities, and industry expertise. After marketing the R+D business and soliciting preliminary transactional interest from a variety of strategic and financial parties, PPC helped negotiate a Letter of Intent with Krones AG. Based in Germany with an existing North American headquarters in Franklin, Wisconsin, Krones designs and manufactures fully integrated packaging and bottling line systems serving beverage, food, chemical, pharmaceutical, and other growing industries. PPC managed the entire outreach, due diligence, and sale process and assisted in closing this strategic transaction between R+D and Krones during the fourth quarter of 2022. The transaction involving R+D represents another successful Done Deal for our firm. Read Press Release

Promontory Point Capital is a Milwaukee-based investment banking firm focused on the needs of Midwestern privately-held businesses. Since being formed in 2004, our firm has led over 160 client engagements including the evaluation of business sale and recapitalization options, the arrangement of debt and equity financing, and the planning and execution of growth strategies involving acquisitions, mergers, and joint ventures. Many inquiries to Promontory Point Capital include business objectives encompassing:

Ownership Planning, including Transition & Liquidity Goals: We are frequently introduced to owners or senior management teams when owners are interested in learning about their options involving a potential sale of all or a portion of their business. We have arranged transactions involving strategic partners, private equity firms, ESOPs, management buyouts, and other types of shareholder “recaps” including both minority and majority recapitalizations.

Financing, Refinancing, & Debt Restructuring: A company may have either short-term or long-term funding needs that are beyond the comfort zone of its existing senior bank lender. PPC arranges capital for companies including senior bank debt, non-bank debt, subordinated debt, sale-leaseback, and other forms of institutional funding to fund growth, acquisitions, shareholder redemptions, management buyouts, and other corporate purposes.

Strategic Growth/M&A: A company may have an interest in growing and expanding by acquisition or strategic joint venture and wish to have an initial conversation regarding their strategic growth objectives.

We welcome your confidential inquiry and encourage you to visit our firm's new website at

www.promontorypointcapital.com for more information on our organization's capabilities and numerous other client successes.