News

TowerBrook Capital Announces Acquisition of Shale-Inland and IPVF

March 12, 2012

Shale-Inland Holdings, LLC, a holding company majority-owned and controlled by funds of TowerBrook Capital Partners L.P. (“TowerBrook”), today announced definitive agreements pursuant to which it will acquire Shale-Inland as well as HD Supply’s IPVF business (“IPVF”). Terms of the transactions have not been disclosed. Both transactions are expected to close by the end of March.

Shale-Inland combines stainless, aluminum, carbon steel and protective film distribution with stamping and fabrication with a mission to optimize supply chain management and deliver a broad spectrum of metal or finished parts. HD Supply’s IPVF is comprised of Southwest Stainless & Alloy, J&J Alloys, Sunbelt Supply Co. and Metals Inc., and is collectively one of the nation’s largest master and industrial distributors of stainless steel, chrome, nickel and nickel alloys, aluminum and carbon steel pipe, plate, bar, coil, sheet, valves, flanges and fittings – with capabilities to ship products all over the world.

On transaction close, Shale-Inland is expected to be combined with IPVF. The potential combination of the assets and people of IPVF with Shale-Inland would create an industrial company serving over 6,000 customers on 4 continents. The Stephens Group, LLC, Shale-Inland’s existing sponsor, will be a co-investor in the new entity, Shale-Inland Holdings, LLC.

ABOUT SHALE-INLAND HOLDINGS, LLC

Shale-Inland combines stainless, aluminum, carbon steel and protective film distribution with stamping and fabrication. We pursue world-class customers and provide them with service that engenders fierce loyalty. With a recovery in our economy, we believe American manufacturing is on the verge of a renaissance. Shale-Inland’s mission is to optimize supply chain management and deliver a broad spectrum of metal or finished parts just-in-time to allow our customers to be creative in assembling their products and streamlining their processes.

ABOUT HD SUPPLY INDUSTRIAL PVF

HD Supply is one of the largest industrial distribution companies in North America. Through a diverse portfolio of industry-leading businesses and more than 80 years of experience, the company provides a broad range of products and services to approximately 450,000 professional customers in the infrastructure and energy, maintenance, repair and improvement, and specialty construction markets. With approximately 680 locations across 45 states and nine Canadian provinces, the company’s 14,500 associates provide localized, customer-driven services including jobsite delivery, will call or direct-ship options, diversified logistics and innovative solutions that contribute to its customers’ success.

ABOUT TOWERBROOK CAPITAL PARTNERS L.P.

TowerBrook Capital Partners is an investment management firm with approximately $4.5 billion of capital under management. With offices in New York, London and San Francisco, the firm focuses on making investments in North American and European companies. TowerBrook primarily pursues control-oriented private equity investments in large and middle market companies, partnering with highly capable management teams, often in situations characterized by complexity.

ABOUT THE STEPHENS GROUP, LLC

The Stephens Group is a private, family-owned firm that invests its capital in private companies with exceptional management teams in growing industries. The principals of The Stephens Group have over 70 years of history in successfully investing in both control and minority positions across multiple industries. The Stephens Group, through its affiliates, has large positions in oil & gas exploration and production, energy services, media, consumer, communications, manufacturing and other industries.