Axia Capital Partners Leads Buyout of Cable Design and Manufacturing
to Form Segue Manufacturing Services, LLC
February 5, 2008
For Immediate Release
Burlington, MA - DATELINE: BURLINGTON, MA; February 5, 2008…Axia Capital Partners, LP today announced that it completed its acquisition of Cable Design and Manufacturing (CDM), a leading full service contract manufacturing company in New England, and formed Segue Manufacturing Services, LLC (Segue). Axia Capital syndicated a leveraged buyout to acquire the assets of CDM and appointed Peter Frasso, former COO of FEI, as CEO of Segue. CDM's former owner and CEO, Bill Roderick, will retain a significant equity position in the newly formed company and lead the sales and engineering organizations.
Background
Founded in 1991, CDM was established to design and produce custom cable and harness assemblies. Today, CDM provides turnkey electro-mechanical assemblies for over 100 customers as well as precision machining for its in-house assembly business. CDM ranks among New England's leading contract manufacturing firms and is highly regarded by clients for its ability to produce a wide array of highly engineered products.
Jim Pelusi, Managing Director of Axia Capital Partners, LP stated, "We partnered with Peter Frasso to find a contract manufacturing firm with a proven track record for growth, excellent customer relations and quality operations. The strength of CDM's management team, customer loyalty and almost 50% annual growth rate over the last 2 years made it a clear cut winner." Mr. Pelusi added, "We are excited about teaming with Peter and confident in his ability to execute on our strategy to create the leading full service contract manufacturing company in New England."
Management
Prior to joining Segue, Mr. Frasso held several senior executive positions as COO of FEI, VP of Global Operations at Brooks Automation and General Manager of Varian's Vacuum Instruments Division. During his tenure at Varian, the company was twice named one of the Best Plants in America by Industry Week, received the Massachusetts Quality Award and was a finalist for the Malcom Baldridge Award.
"CDM provides a strong operational platform to grow from," stated Mr. Frasso. "We have already begun expanding its suite of manufacturing capabilities into value-added services such as product engineering, supply chain consulting and integrated supply management."
According to Bill Roderick, "The sale of CDM to Segue provided me with an opportunity to diversify my financial assets and retain a significant equity position in Segue. I am very pleased with Axia's ability to creatively source and structure the transaction; as well as partner with our management team to develop a clear strategy for differentiated growth."
About Axia Capital Partners, LP /
www.axia-partners.com
Axia Capital Partners, LP is dedicated to increasing the equity value of our portfolio companies by developing and executing clear cut strategies that improve operations and drive growth. Our unique combination of hands on management expertise, engineering know-how and creative financing provides partners with innovative solutions for maximizing value and generating superior returns. As an affiliate of Axia Partners, Axia Capital is a middle market private equity firm that selectively invests in industrial technology companies with established track records for profitable growth and differentiated products in niche markets.
For more information about Axia Capital Partners, please contact:
James A. Pelusi, Managing Director
T (781) 273-6064
jpelusi@axia-partners.com
About Segue Manufacturing Services, LLC /
www.segue-mfg.com
Segue Manufacturing Services, LLC, formerly Cable Design and Manufacturing, is one of New England's leading contract manufacturing firms. Our focus on high value, cost effective manufacturing solutions has earned us a reputation as the 'supplier of choice' among the region's most innovative companies seeking highly engineered products for military, solar, medical, semiconductor and industrial capital equipment. In addition to our engineering and global sourcing expertise, clients benefit from a full range of services for turnkey manufacturing of cables, harnesses and electro-mechanical assemblies, as well as supply chain management and engineering services. For more information about Segue Manufacturing Services, please contact:
Peter A. Frasso, CEO
T (978) 970-1200 x 131
pfrasso@segue-mfg.com
MEDIA CONTACT
Lisa A. Maini
myMarketingManager
T (617) 642-7070
lmaini@mymarketingmanager.com
back to main News page