Acquisitions


The Acquisition Strategy:
We target firms that are characterized by the following attributes:

1. Well established in a niche where there is room for growth.
2.
Firms should have reasonable profits (5 to 10% pre-tax).
3. Firms should have
less than 10% market share.
4. Inventory turns are low, typically 2 to 4 times.
5. Labor Productivity is low, typically $100,000 revenue per employee or less.
6. Facility space and expenses are 2 to 3 times of true needs.
7. Firms that may have under-invested in skilled management.  

As inventory reduction generates cash, debt can be retired and investor capital can be returned. Productivity (labor and facilities) create long term increased cash flow. Low working capital investment, higher productivity and fast throughput times lead to rapid reaction to customers and thus increased sales.




Current Portfolio Companies

Sparling Instruments, LLC
TenX Ventures, LLC led the acquisition of Sparling Instruments, Inc., a leading manufacturer of flow measurement solutions. Headquartered in El Monte, California, Sparling designs and manufactures flow meters for the water and waste water flow measurement markets, as well as for general industrial flow measurement markets. The company’s product lines include the TigermagEP™ line of magnetic flow meters as well as lines of propeller and vortex meters.  Please visit: www.sparlinginstruments.com.

Hanson Worldwide, LLC
TenX Ventures led the acquisition of Hanson Worldwide, LLC (formerly The Factory Company, Inc) a 60 year old extreme environment machinery manufacturer.  Located in Spokane, Washington, Hanson Worldwide has a long reputation of building ultra reliable machinery for a wide range of industries including Oil & Gas, Military, and Mining. Please visit www.thefactorycompany.com

Performance Design, LLC
Led by Bighorn Ventures, LLC, an investment group including management and TenX acquired Performance Design, LLC.  (PDI).  Headquartered in Boise, ID, PDI designs, develops and manufactures paper punches and paper binding equipment under its brand name "Rhin-o-Tuff".  PDI sells primarily to bindery distributors, who in turn resell the machines either to commercial firms for their own use or to copy centers that reproduce and bind on a contract, "walk-in" basis for businesses and consumers.  PDI has distinguished itself through the development of robust machines that are more durable than the ones found in retail office supply stores, but more economical than other machines designed for higher volume, commercial use. Please visit www.rhin-o-tuff.com.