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TGP Capital Partners, LLC Completes sale of Tru-Flex Metal Hose, L.L.C.

October 2013 - Kansas City, MO - TGP Investments, LLC (“TGP”), the manager of private equity investment fund TGP Capital Partners, LLC (the “Fund”), is pleased to announce that the Fund has sold Tru-Flex Metal Hose, L.L.C (“Tru-Flex”), to HBM Holdings (www.hbmholdings.com), a holding company and investment vehicle for the privately-held ownership of the Mississippi Lime Company.

Based in West Lebanon, Indiana, Tru-Flex (www.tru-flex.com) is a manufacturer of highly engineered metal hydroformed bellows and interlock flexible hoses. The company’s products are primarily used in heavy-duty on road and off-road vehicles to increase the life of the vehicles’ exhaust systems by decoupling engine vibrations from the exhaust system.

Tru-Flex has established a business focused on vibration and emission leak control to meet increasingly stringent government mandated clean air requirements. The company’s strategy has been to provide highly-engineered solutions that address vibration issues (e.g., axial, torsional, etc.) and aid thermal management, while gradually moving closer to a zero-leak emission solution, as required under U.S. and European emissions standards. As a result, Tru-Flex has filed over 40 patents for a variety of products and become the leading bellows manufacturer for the North American on-road heavy-duty truck market with a growing presence in off-road and international markets.

Shane Parr, TGP Managing Director, stated “We are extremely pleased with the outcome of our investment in Tru-Flex. Tru-Flex has experienced tremendous growth due its patented product line and the need for OEM’s to comply with the dramatic change in emissions technology to meet the new emissions standards. The management team of Tru-Flex did a great job improving profitability through LEAN manufacturing processes and by investing in capital projects to increase efficiency and capacity. It is a lot of fun when everyone works together and the team realizes a great outcome.”

Gregg Notestine, Tru-Flex CEO, stated, “We are very happy with the partnership we created with TGP. Their historical experience in manufacturing and board level guidance helped us achieve our strategic objectives. We have accomplished a lot and their philosophy of aligning incentives so that we share in the success of the business made us a true partner with TGP.”

Kansas City-based TGP Capital Partners, LLC is a private equity investment fund formed to make middle-market investments in well-managed, profitable, and growing companies.  The Fund prefers to provide growth capital for acquisitions or internal growth or to facilitate liquidity or a sale event for existing shareholders.  TGP Capital Partners makes both control and minority equity investments in partnership with proven managers in manufacturing and business services companies with revenues generally between $15 million and $150 million. For more information about TGP, please visit the website at www.tgpinvestments.com.