Company Overview

Micro-Poise Measurement Systems, LLC is the leading global provider of precision measurement and inspection systems and associated aftermarket parts and service for the global tire industry. Micro-Poise’s systems are used by manufacturers for process control and quality assurance to assess and correct the balance, uniformity and geometry of tires, wheels and powertrain components.

Partnership Overview

Acquisition Dynamic / AIP Differentiation

  • Complex carve out from Illinois Tool Works, Inc.
  • Addressed product failure concerns during sales process
  • Industry recapitalization into higher growth and lower cost regions

Investment Rationale

  • Significant opportunity to improve earnings profile
  • Leading product performance
  • Large installed customer base
  • High barriers to entry
  • Mission critical nature of products
  • Large aftermarket growth opportunity

Value Creation Accomplishments

  • Introduced new products including the Modular Test & Measurement System (“MTMS”), the first in industry to integrate all final testing functions in one system
  • Moved headquarters to state-of-art facility, resulting in $80 million of additional annual production capacity and improved operations and process flow
  • Successfully integrated add-on acquisition of X-ray technology purchased out of German receivership
  • Expanded Company’s international footprint including the opening of a large manufacturing facility in Beijing and a sales office in India
  • Implemented comprehensive lean manufacturing to increase revenue and gain market share by reducing lead times and direct labor costs
  • Implemented strategic procurement function (including global sourcing) to lower material costs

Exit

Sold to a strategic buyer in October 2012

Company Highlights

Website

www.micropoise.com

Sector

Test & Measurement

Headquarters

Akron, OH

Acquisition Year

2007

Exit Year

2012

Fund

AIPCF IV

Disclaimer: Please note, the above case study does not represent all of the types of investments AIP, LLC has made or the outcomes it has achieved during its lifetime. Each investor must consider whether private equity investments are suitable for their specific goals. Past performance is not indicative of future results. A comprehensive list of all investments along with Portfolio Company information and investment fund performance is available to qualified prospective investors who may be considering an investment in a fund advised by AIP, LLC.