Carousel Capital (“Carousel”) announced today that it has partnered with Joel McMahon, who will remain a significant continuing owner and board member, to recapitalize Jay Industrial Repair (“Jay Industrial” or the “Company”). Jay Industrial is a Birmingham, Alabama–headquartered provider of maintenance, repair, replacement, and engineering services for industrial users of electric motors and generators, controls, and turbine equipment, including precision coil and rotor fabrication.
Founded in 1984, Jay Industrial has built a strong reputation as a trusted partner for complex electromechanical repair and maintenance work. The Company serves customers across North America from multiple service locations in the Southeastern U.S., including service centers in Birmingham, Montgomery, Mobile, Muscle Shoals, Jacksonville, and Oklahoma City.
“I’ve spent decades working with incredible people at Jay Industrial to build a company that our customers and employees can rely on, and that commitment will never change,” said Joel McMahon, majority shareholder of Jay Industrial. “Partnering with Carousel provides us with the resources and strategic support to continue investing in our people, expand our technical capabilities and accelerate the growth we’ve been building toward for years. I’m proud to remain an investor and board member and have never been more excited about the future of Jay Industrial.”
“Our customers operate some of the most complex industrial equipment in the world, and we've built Jay Industrial into a company that customers trust with time-sensitive repairs to their most critical assets,” said William Shiver, President of Jay Industrial. “The demand for what we do has never been stronger. This partnership positions us to continue investing in our capabilities and people and will allow us to serve a broader base of customers, all while staying true to the culture and commitment to quality that got us here.”
“Jay Industrial is the kind of business we look for at Carousel, a deeply entrenched service provider with longstanding customer relationships, a highly skilled workforce, and a large, expanding market opportunity,” said Tyler Moses, Principal at Carousel Capital. “The Company’s customers operate in critical industries and cannot afford downtime. That dynamic creates a durable demand profile that we find incredibly compelling. We look forward to partnering with Joel, William, and the entire Jay Industrial team to build on the Company’s strong foundation.”
This transaction continues Carousel’s longstanding focus on partnering with family-owned businesses in the Southeastern United States. “We are grateful to continue our track record of providing first-time institutional capital solutions for outstanding businesses and people like Joel, William and the excellent team at Jay Industrial,” said Jason C. Schmidly, Managing Partner of Carousel.
The recapitalization was funded with equity from Carousel’s sixth fund. Senior debt financing was provided by Freeport Financial. K&L Gates served as legal advisor to Carousel. Maynard Nexsen served as legal advisor to Jay Industrial and Bundy Group served as Jay Industrial’s financial advisor.
