We are differentiated by our patient capital investment approach

HBM’s patient capital investment approach stood out among other potential suitors for Schafer Industries. The desire for a long-term approach to shape its strategy, ultimately benefitting the employees of Schafer, was a fundamental factor in the choice to work with HBM as a financial partner.

 

COMPANY BACKGROUND AND CULTURE

Founded in 1934 and headquartered in South Bend, Indiana, Schafer Industries is a leading producer of high-precision, custom-engineered gears, and machined parts as well as assembled axles, transaxles, transmissions, brake assemblies and other components for a wide variety of industries. The founder and original owner of Schafer, Otto Schafer, instilled a culture that is team-focused and committed to serving its customers. Over eighty years later, Schafer’s culture has not deviated from its original mission.

WHY HBM?

When the Schafer opportunity was presented to HBM by a leading sell-side institution, HBM acted quickly as the company fit squarely
within its investment focus of specialty manufacturing companies with long-term growth potential driven by unique end-market fundamentals or specific, actionable opportunities. Schafer was seeking a partner that would invest in the company for the longterm, prioritizing its employees and customers. HBM was ultimately selected because of its long-term patient capital strategy. When a company is acquired into HBM, it becomes part of the HBM family – built and nurtured for its long-term success.

INTEGRATION AND STRATEGIC PLANNING

Since the acquisition, Schafer and HBM have worked closely together to appoint a new CEO and develop a strategic plan to identify acquisition opportunities and growth verticals. Schafer, like HBM’s other portfolio companies, will benefit from its enterprise-wide solutions such as talent development, strategic planning, technology deployment and overall support.

Schafer has benefitted from HBM’s enterprise-wide support and solutions, specifically in the area of internal talent and leadership development. Eric Van Rens was immediately appointed as Schafer’s new CEO. Van Rens was previously the Vice President of Sales and Marketing for Mississippi Lime and was identified early on as having strong leadership potential.

In addition to talent development efforts, HBM plans on making sizable capital investments in Schafer to expand the company both organically and through acquisitions. HBM is actively working with Van Rens and the Schafer leadership team to identify acquisition targets, explore new verticals and to manage their enterprise needs as the company continues to grow.

> READ THE PRESS RELEASE

 

 

“As we engaged in the process of selling Schafer, our priorities were our employees and our customers. Throughout the process, HBM Holdings stood out not just in value for us as shareholders, but in terms of cultural fit. They understand our markets, technology and resource constraints and have a talent development strategy that will help our people continue to grow and succeed. Their focus on growth will benefit both our employees and our customers.”

Bipin Doshi, former CEO and President
Schafer Industries


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