Thursday Jan 30, 2014 by Dennis Keohane - Senior Writer, VentureFizz
In a move to keep its operations (as well as plenty of engineering and manufacturing jobs) in Massachusetts, MRSI Systems announced this morning a $6M leveraged buyout of assets from parent company Newport Corporation.
The company, a developer and manufacturer of turnkey chip placement and dispensing systems, discovered that Newport was considering divestiture in the fall of 2013 and put together an investment group of MRSI’s senior leadership as well as investment companies Boston Private Bank & Trust Company and Massachusetts Growth Capital Corporation. Boston Financial Resources and Villeo Capital added "guidance" to the investment group.
The deal announced today will ensure that MRSI’s technology remains in the state, where it has been for the past 30 years.
As Michael Chalsen, MRSI's President explained in a press release announcing the deal, “When we heard that Newport was considering the divestiture of our MRSI Group, we immediately requested that the management team also have the option to make an offer for the business.”
“We felt the best option for guaranteeing that jobs stay local was to pursue the management buyout," he added. "It would have been unfortunate to lose these jobs -- not only for the employees and their families, but also for the local economy.”
“As a stand-alone company, we’ll be in a much better position to project ourselves in our core markets,” Chalsen said.
“It will be great to continue to see tractor-trailers driving away with systems heading to all parts of the world, manufactured right here in Massachusetts.”
MRSI anticipates "more growth over the coming years from emerging markets within the advanced packaging markets" as a stand alone company.