P&M Corporate Finance (PMCF) served as the exclusive financial advisor to Hatch Stamping Company in a recapitalization transaction with Hatch’s management team and Prophet Equity of Southlake, TX.
Headquartered in Chelsea, MI, Hatch is a manufacturer of complex metal stampings and assemblies to the automotive industry. The company supplies the world’s leading manufacturers of fuel, braking, roofing, and interior automotive systems with complex safety critical metal components and mechanisms through its six manufacturing centers of excellence, including a state of the art facility in Queretaro, Mexico. Hatch provides a broad spectrum of value-added capabilities, including robotic welding and subcomponent assembly, e-coating, in-line vision inspection and error detection, prototype design and construction, and full tool and die-build and repair. Combining the most advanced and efficient automation, production, and secondary operation equipment with in-house engineering resources, Hatch has established itself as a trusted manufacturing partner to a marquee and global customer base of Tier 1 automotive suppliers.
“We are excited to support the management team and Mr. Hatch in the company’s growth,” said Brian Hegi, principal of Prophet Equity. “With years of operational and strategic acumen in the automotive industry, Prophet Equity will be a collaborative partner to help management and Mr. Hatch explore and evaluate opportunities to create additional value.”
Phil Gilbert, managing director of PMCF, said, “This transaction is an excellent outcome for all parties involved. In addition to achieving a personal liquidity event, Mr. Hatch has found an operationally-oriented partner that is supportive of the company’s proven strategy. Through its investment, the management team has aligned itself with the success of the organization it manages and is in a position to reap the rewards of its efforts. Finally, Prophet Equity has made an investment in an industry leader with an established brand, a strong reputation, and an excellent management team.”
“PMCF was the perfect advisor for me and to the company,” added Ron Hatch, the company's owner and CEO. “In addition to managing a robust auction process in which the many value attributes of the company were presented to the market, PMCF consistently offered valuable transactional, operational, and financial insights and perspectives that guided us through the closing.”
P&M Corporate Finance is a middle market investment bank providing merger and acquisition advisory services to companies in North America and Europe. PMCF provides a broad range of services including sale advisory, acquisition advisory, capital raising, and strategic advisory.