Press Release
Gridiron Capital Announces Electronic Systems Protection Acquisition of SurgeX
New Canaan CT, January 7, 2009 — Gridiron Capital, LLC announced that Electronic Systems Protection, Inc. (“ESP”), headquartered in Zebulon, North Carolina, has acquired SurgeX of Pipersville, PA and its related intellectual property. SurgeX is a leading designer, manufacturer and marketer of AC power conditioning and surge elimination products for the Audio Visual, Broadcast and Security industries and has developed key dealer and distributor relationships throughout the United States and Canada for over thirteen years. Additional information about SurgeX is available at www.surgex.com.
“SurgeX’s product offering, along with its leading position in the Professional AV market make it an ideal fit for our company,” stated Steve Cole, President of ESP. “SurgeX’s solutions, brand, customers and distribution channels complement ESP’s business and extend our ability to deliver compelling products and services to new industries. As a result of this acquisition, we will be able to expand into new markets as the premier B2B power protection solution provider.”
“The acquisition of SurgeX is a highly complementary strategic fit for ESP. It provides ESP with the opportunity to expand SurgeX’s market share by supporting integrators and rep groups with direct sales efforts, and will also allow customers to benefit from an expanded, combined product offering. This growth potential, coupled with SurgeX’s healthy operating earnings, makes this an exciting acquisition that is immediately accretive to the value of ESP,” said Gridiron Capital Managing Director Joe Saldutti. “The two companies have very little overlap from a product line and end market standpoint, and significant growth opportunities exist to leverage the distribution strengths of both companies by joining forces,” added Gridiron Principal Geoff Spillane.
About Electronic Systems Protection, Inc.:
Electronic Systems Protection, Inc. is a leading manufacturer of industrial power protection products for the Office Automation, Mailing Systems, Kiosk, and ATM industries. For over 20 years, ESP products have provided patented power filtration and surge protection technology to protect digital equipment from surges, ground noise, dirty power disruptions, lightning, and other harmful voltage transients. ESP’s products are manufactured in Zebulon, NC, and are endorsed by leading equipment manufacturers in the office automation industry. Additional information is available at www.realpowerprotection.com.
About Gridiron Capital:
Gridiron Capital, LLC, headquartered in New Canaan, Connecticut, is a private equity firm focused on creating value by acquiring and building middle-market manufacturing, service and specialty consumer companies in the United States and Canada. The firm’s principals have historically achieved superior investment returns by employing a combination of strategic, operating and financial experience to provide portfolio companies with competitive advantages. Gridiron’s principals work closely with management teams to develop strategies for portfolio companies, as well as providing resources to execute business plans and build industry-leading companies. Additional information about Gridiron is available on the firm’s website at www.gridironcapital.com.