Arcapita, the global investment firm headed by Bahrain’s Atif A Abdulmalik, announced Monday that it had acquired a controlling interest in MC Sign Company, one of the main US signage and lighting services companies. The deal is reportedly worth in excess of $100 million.
Founded in 1953, MC Sign is an Ohio-based company that provides signage solutions for companies in the retail, banking, hospitality, quick service restaurant and petroleum segments in the US and Canada and boasts in excess of 275 clients. The sale comes a little two years after the company was acquired by Los Angeles-based private equity firm Caltius Capital Management.
“We are excited to complete a US private equity transaction and pleased to partner with the management team at MC Sign to help grow the company’s suite of services and customer base,” said Arcapita CEO Atif A Abdulmalik. “MC Sign is led by a very experienced team of professionals who have grown the business considerably over the past few years, and we believe the company is well positioned to acquire market share in a highly fragmented industry that is dominated by locally-focused, sub-scale service providers.
“More than 75 percent of MC Sign’s customers are blue-chip companies with national presence and, attesting to the company’s value proposition, MC Sign has averaged an industry-leading customer retention rate of 99 percent since 2012.”
Through its headquarters in Cleveland, Ohio, MC Sign processes over 40,000 work orders per year through over 5,000 field service partners, and has 225 employees. In addition to signage and branding, the company has also steadily grown its lighting services business which completes interior and exterior lighting installations and is currently capitalizing on the high-growth LED retrofit/conversion market in the United States.
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