ARX Equity Partners (“ARX”) completes the 100% sale of TES Vsetin s.r.o., a Czech electro-mechanical engineering company (“TES” or the ”Company”), to a private equity consortium. Financial terms of the transaction were not disclosed.

Headquartered in Vsetin, Czech Republic, TES (http://www.tes.cz) is an engineering company engaged primarily in the manufacturing of system components related to electrical machines, in addition to the design and manufacturing of its own proprietary electric machines, such as generators and electric motors. TES supplies critical components and machines to several blue-chip customers across various industries.

ARX acquired the business in 2019 from an affiliate of Advent International in a structure that immediately eliminated the company’s excessive indebtedness. This financial restructuring transaction facilitated an opportunity for the company to realise its potential, as the previously high level of financial leverage constrained development of the Company. As part of the transaction ARX partnered with the TES management team who led the further growth and evolution of the Company. The success of TES during the ARX holding period was underpinned by the Company‘s core engineering competencies and its ability to serve large and demanding blue-chip customers that are increasingly seeking reliable suppliers in the CEE region.

The successful TES investment builds on the deep ARX investment track-record in Central European engineering-driven manufacturing companies.